Report: Obsidian to work on Fallout title as unannounced projects cancelled
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Report: Obsidian to work on Fallout title as unannounced projects cancelled

GamesIndustry.biz technology

Key Points:

  • Obsidian is reportedly developing a new Fallout game led by studio design director Josh Sawyer, following the cancellation of several unannounced projects amid an Xbox restructuring.
  • The restructuring affected 60 to 70 Obsidian employees, with some staff continuing work on an Avowed sequel, DLC for The Outer Worlds 2, and content for Grounded 2.
  • Bethesda is expected to collaborate with Obsidian on the new Fallout project; Obsidian previously developed Fallout: New Vegas, also directed by Sawyer, which inspired a popular Prime Video adaptation.
  • The Xbox restructuring has impacted multiple studios, including layoffs at Id Software, Bethesda Game Studios Austin, and potential reductions at ZeniMax Online Studios, as well as divestments of five internal studios.
  • Xbox CEO Asha Sharma emphasized the need to reset Xbox’s strategy by supporting independent creators with open development tools and audiences, acknowledging that Xbox cannot own every great independent studio.

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