Rumour: State of Decay 3 Dev Also Facing Xbox Axe, Just Weeks After Game Was Revealed for PS5
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Rumour: State of Decay 3 Dev Also Facing Xbox Axe, Just Weeks After Game Was Revealed for PS5

Push Square technology

Key Points:

  • Undead Labs, developer of State of Decay 3, is reportedly seeking alternative funding as Xbox considers closing multiple game studios due to financial cutbacks.
  • Xbox Games Studios teams are working seven-day weeks to manage Microsoft’s cost reductions and explore potential sales of studios to third-party buyers.
  • Other studios potentially affected include Double Fine Productions, Compulsion Games, and Ninja Theory, with some studios possibly being spun out as independent entities to save jobs.
  • Despite recent positive previews of State of Decay 3 and interest from the gaming community, Undead Labs faces uncertainty, though it may be well-positioned to find a new publisher.
  • Xbox has not officially commented on these reports, but significant layoffs are expected even for studios that remain open amid efforts to streamline the business.

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