Arkane Lyon Reportedly Could Be Closed in Mid

Key Points:

• Arkane Lyon, the developer behind Marvel’s Blade, is facing potential closure as Microsoft explores options including selling the studio, with a buyer search deadline of November 13 under French law.
• The studio, employing 217 people, was informed of Microsoft's closure plans in July alongside other Xbox studios, with worker unions negotiating to delay layoffs and seeking re-employment opportunities within Xbox.
• Microsoft has stated it is actively seeking a partner to support Arkane Lyon’s future projects and is keeping employees informed through ongoing consultations, while internal documents suggest full closure could begin in late 2026.
• Concerns have arisen about the future of Marvel’s Blade, which was on track for a 2027 release prior to layoffs, with no recent updates since its announcement in December 2023 and positive remarks from Bethesda’s Todd Howard in mid-2024.
• The union has criticized Microsoft’s decision, claiming it contradicts previous assurances about the studio’s financial health and accusing the company of prioritizing short-term profitability over Arkane’s success.