Microsoft announced it would close four Bethesda-owned developers as part of a “reprioritization of titles and resources” aimed at focusing on “high-impact” video games. Closure includes: red fall studio Arkane Austin, The Evil Within developer Tango Gameworks, Mighty Doom developer Alpha Dog Games, and Roundhouse Games. These closures come amid continued layoffs across the industry after Microsoft announced plans to let go of 1,900 employees following its merger with Activision Blizzard King.
Xbox Game Studios head Matt Booty announced the closure in an email to staff, saying Microsoft is “investing even more in the Bethesda portfolio of blockbuster games and popular games worldwide.” Redfall studio Arkane Austin is one of the developers closing, and Booty said players who have already purchased the co-op game's Heroes DLC will be offered a “make-up” offer in return.
“[Arkane Austin] It will conclude with some members of the team joining other studios to work on Bethesda-wide projects,” Booty wrote in an email seen by IGN. “Arkane Austin has a history of making impactful and innovative games, and it’s a pedigree we should all be proud of. The last update for Redfall will be the last as all development on the game ends. The game and its servers will remain online for players to enjoy and will provide alternative offers to players who have purchased the Heroes DLC.
The Redfall Hero Pass was supposed to include two new heroes, bringing the total for the Vampire FPS game to six, but a full year after its release, this content is nowhere to be seen. Tango Gameworks, the company behind The Evil Within and Hi-Fi Rush, will also be shutting down, but Booty said Hi-Fi Rush will continue to be available to players on its current platforms.
Hi-Fi Rush also won Best Audio Design at The Game Awards last December.
Mobile developer Alpha Dog Games is another developer closing as Mighty Doom will be “retired” on Wednesday, August 7, along with the ability for players to make in-game purchases. Finally, Roundhouse Games is part of ZeniMax Online Studios and is working on The Elder Scrolls Online.
“These changes do not reflect the creativity or skill of the talented individuals on these teams or the risks they took to try new things,” Booty added. “We are making difficult decisions like this to create the ability to increase investment in other parts of our portfolio and focus on our priority games.”
Dinga Bakaba is the head of Arkane Austin's sister studio Arkane Lyon. statement Following the news of the closure. “This is absolutely awful. License to be human: To all executives reading this, video games are an entertainment/cultural industry, and your business as a company is to take care of your artists/entertainers.” and a friendly reminder that your goal is to help them create value for you,” Bakaba writes.
“For now, it is truly heartbreaking to see a great team sinking before our eyes yet again. Lyon are safe, but with tact and insight into all of this, it is truly heartbreaking to see those affected.” Respect their voices and make room for them to be heard. It's their story to be told and their feelings to be expressed.”
At this time, it is unclear when the closure will take effect or how many developers will lose their jobs.
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