Report: Microsoft Running Out of Time to Save Xbox Studio Arkane

Image: Prey (2017)

In July, Xbox announced it was eliminating 3,200 roles and severing ties with four studios—Compulsion Spill, Ninja Theory, Double Fine and Undead Labs. At the same time, it was noted that Arkane Studios was weighing “potential strategic options” amid the possibility of also departing Xbox’s ownership.

By September, consultation with Arkane was said to remain underway and expected to run through the end of the year, though a new report from French outlet Le Monde suggests the situation is more severe.

The article cites a November 13th deadline for the consultation process, which could involve closing the studio, while a Microsoft representative told the outlet that “different options” are still being explored. Under French law, Microsoft apparently must attempt to find a buyer for at least three months, a process that began in the summer.

Here is what the Microsoft representative said, keeping in mind the report has been translated from French:

“We continue to explore different options for Arkane as part of the ongoing French consultation procedure. We keep the social and economic committee as well as the employees informed, and are actively looking for a partner to support the next phase of development and enable the commercialization of the project.”

The reference to a “project” seemingly points to Marvel’s Blade, which has been in development for years at Arkane Studios and is reportedly nearing the end of production according to Le Monde.

Although the November 13th deadline is quoted here, there is also a suggestion that any dealings tied to a potential closure could extend into the first quarter of 2027, meaning it may be some time before further details emerge.

Ultimately, Arkane Studios and Ninja Theory are the two Xbox studios still at risk of potential closure following the July announcement, though there remains a chance that Microsoft and the studios themselves could find a way to keep them going. Fingers crossed a suitable buyer decides to step in ASAP.