The growing body of evidence seems to suggest that Microsoft's highest leaders felt the Xbox brand was falling victim to what has been plaguing overexpansion. Likewise, it also seems like MS CEO Nadella simply has buyer's remorse regarding the purchase of Activision:
Speaking about the closures more broadly, Booty said that the company’s studios had been spread too thin — like “peanut butter on bread” — and that leaders across the division had felt understaffed. They decided to close these studios to free up resources elsewhere, he said.
Booty added that the shutdown of subsidiary Arkane Austin, the longtime developer of games such as Prey, was not connected to the performance of its new multiplayer game, Redfall, a critical and commercial flop.
Coming so soon after porting Hi-Fi Rush to the other platforms, I wonder if staff knew the axe was coming?
No, and the Forbes report paints an even more depressing picture. Arkane was in the process of building a case for an immersive sim and Tango was nearing a roadmap on a Hi-Fi Rush sequel. The projects did get presented to senior leadership, but they did not change anything as they "were years away." ZeniMax leadership sided with Microsoft because they agreed that their current structure was too cumbersome:
Jill Braff, head of ZeniMax studios, said in the town hall that she hoped the reorganization would allow the division, which also develops Fallout and Doom, to put more focus on fewer projects. “It’s hard to support nine studios all across the world with a lean central team with an ever-growing plate of things to do,” she said, according to audio of the meeting reviewed by Bloomberg.
“I think we were about to topple over,” she added.
Both Tango and Arkane released games last year and were looking to hire additional staff as they pitched new projects, which Booty and Braff suggested was the main factor behind their closures. Shinji Mikami, Tango’s founder and studio head, departed last year.
Log in to comment