
Microsoft has announced what it has called “the most significant restructure in Xbox history.” Xbox CEO Asha Sharma has confirmed 1,600 Xbox staff will lose their jobs today, with another 1,600 set to be cut during the current financial year. As part of that, four studios are leaving Microsoft, and one may be sold or closed if it doesn’t find a buyer.
There is a lot of news flooding in around the Xbox layoffs, including staff, studio, and game changes. We’ll report on it all live right here. Keep refreshing for the latest updates on the likes of State of Decay 3, Senua, Marvel’s Blade, and the many staff who are working on them.
Double Fine and Compulsion Games
Double Fine and Compulsion Games have now issued public statements to confirm their status following word of today’s enormous cuts by Xbox, discussing their respective futures as independent studios. More here on the fate of the likes of Psychonauts and South of Midnight.
State of Decay 3
Asha Sharma has said Undead Labs will be sold “with funding to complete and grow” State of Decay 3, which suggests the game will be released eventually. But we don’t know who has bought the studio, and we don’t know if it will suffer any layoffs as a result. State of Decay 3 only appeared at the Xbox Games Showcase last month, where it had a new trailer with a 2027 release window.
Wesley is Director, News at IGN. Find him on Twitter at @wyp100. You can reach Wesley at wesley_yinpoole@ign.com or confidentially at wyp100@proton.me.





