Xbox has agreed to extend the consultation period for Arkane Lyon, the studio behind Dishonored and Deathloop, by approximately one month, providing a crucial window for finding a new owner and potentially saving the jobs of 217 employees. The original deadline was November 13.
Arkane Lyon was among the studios impacted by Xbox CEO Asha Sharma's recent "reset," which is set to result in 3,200 job losses. Reports indicated that Arkane's leadership was informed of Xbox's intention to close the studio on July 16. However, French labor laws require a three-month period for seeking a buyer before any closure can occur.
Unions, including Printemps Écologique and Syndicat des Travailleureuses du Jeu Vidéo, had been advocating for an extension to the negotiation period. The extended deadline is now set for December.
A Microsoft representative confirmed the extension to PC Gamer, stating, "We have extended the consultation period by one additional month as we explore options, including finding a partner to support the studio through the development work still ahead." This development work refers to Marvel's Blade, a project that appears to remain with Arkane Lyon.
Documents filed with the French government in August outlined plans for the "complete and permanent cessation of the company's activities" and the "dismissal of all employees for economic reasons." Microsoft, however, has clarified that these filings are part of the required consultation process and do not represent a final decision.
According to members of Printemps Ecologique, Marvel's Blade is nearing completion, and they believe it would be a significant loss if the game were not released. Conversely, some reports suggest the game may still have several years of development ahead.
This situation unfolds amidst a broader restructuring at Xbox, which has already seen over 1,600 layoffs. Other studios affected include Double Fine and Halo Studios, with further waves of job cuts reportedly planned for November and January.