Wednesday, June 17, 2026

Report: Redundancies at Microsoft owned Zenimax have begun – TheSixthAxis

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The co-founder 3D Realms, George Broussard, is reporting that Microsoft has started swinging the axe at Zenimax, the umbrella company that includes Bethesda (Fallout), ID (Quake), Arkane (Dishonored), Machine Games (Wolfenstein) and Zenimax Online (Elder Scrolls Online).

He replied to a tweet that suggested “Anyone not working on Fallout or Elder Scrolls is out” with “Oh is that public now? That’s exactly what I heard a few days ago.”

There were suggestions that at least Arkane was negotiating for the chance to go independent.

Reports have also emerged that Ninja Theory, the studio behind the Hellblade series (including the very, very recently announced Senua) is set to be shut down by Microsoft.

Sources told The Verge that staff were informed on Monday about the studio’s coming closure, though they are hoping to find a buyer for the studio and avoid being shut down entirely. Microsoft did not immediately respond to The Verge’s reporting.

Things are moving very quickly following the initial reports about Xbox game studios potentially shutting down, with Ninja Theory mentioned alongside Compulsion Games and Double Fine as studios that are facing closure. Kotaku reported that Microsoft is set to close down Compulsion, while Bloomberg reported that all three are bargaining for their future away from Xbox.

All of this is coming just days after a swell of positivity for the Xbox brand at Summer Game Fest. The company had reversed the full cross-platform policy during the showcase, confirming that Gears of War: E-Day and Clockwork Revolution are to be full Xbox console exclusives, but just days later, she was revealing a massive slide in profitability and saying that Xbox needs a deep business reset.

Source: Reddit

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