The 360 years feel like a lifetime ago. This week, Xbox stunned the industry by announcing it had closed three studios, and repurposed a fourth into another service game support team. This follows the 1900 people laid off across Xbox at the start of this year, and those Xbox employees quietly caught up in the 10,000 layoffs Microsoft made the year before. It has been a disastrous piece of PR self-sabotage, particularly with the reputations of these studios in mind.
Arkane Austin struggled with the uncharacteristic co-op, online shooter elements of Redfall, but before that made the excellent 2017 reboot of Prey and the first, fantastic Dishonored that led to the immersive sim’s modern mini-revival. Tango Gameworks, Microsoft’s only Japan-based studio that was led, until earlier this year, by horror legend Shinji Mikami, made The Evil Within games and the critically acclaimed, BAFTA-winning breakout Hi-Fi Rush. Roundhouse Studios was founded by the makers of the original Prey, but is now presumably destined to make different coloured leather boots for The Elder Scrolls Online. Alpha Dog made mobile games, an area where Microsoft has been specifically looking to expand. More broadly, for two console generations now, Xbox has floundered under a clear and obvious lack of inventive, attention-grabbing exclusive games. It just bought these studios in 2021.
If it weren’t for the people involved, in 2024, these closures would almost feel routine. This is far from the end of Xbox, of course – in Los Angeles next month, it’ll hold yet another make-or-break press conference, that maps out yet another plan for rescuing a lost generation. But be it through exasperation or exhaustion – or the wider industry’s sheer, pent-up rage – this feels like something of a nadir. Xbox has spun its wheels for more than a decade, lurching from U-turn to U-turn, strategic reboot to strategic reboot, acquisition to acquisition, closure to closure. The good times have always felt just over the horizon. Project Scorpio will set the tone; Game Pass is the future; the Series X will have the games; Starfield will jump-start Game Pass now it’s stalled. The growing sentiment today is that they’ll probably never come.
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