Outer Worlds Studio Obsidian Losing 25% Of Staff In Xbox Cuts

Key Points:

• Approximately one-quarter of Obsidian Entertainment's staff, around 60-70 employees including senior talent, were laid off as part of Xbox's broader cuts affecting 1,600 employees on July 6, with some additional layoffs planned later this year.
• The layoffs impacted a wide range of roles such as producers, artists, designers, programmers, QA testers, and writers, including key figures like the art director of The Outer Worlds and the studio’s only recruiter.
• Despite the cuts, work on Grounded 2 (currently in early access) and the announced DLC for The Outer Worlds 2 is expected to continue, though future project plans remain uncertain pending further communication from the studio.
• Obsidian Entertainment, founded in 2003 and acquired by Microsoft in 2018, is known for critically acclaimed games including Fallout: New Vegas, The Outer Worlds series, Grounded, Avowed, and Pentiment, with several titles receiving prestigious awards.
• Xbox has declined to comment on the specifics of the layoffs, and remaining employees are awaiting guidance on how ongoing projects will proceed amid the significant reduction in staff.