Xbox Wants to Close Ninja Theory and Other Studios

Xbox has embarked on a new path under the guidance of Asha Sharma, but it will not be a painless process. Microsoft's gaming division still has to contend with billions in debt accumulated after the acquisition of Activision Blizzard, which is compounded by a very complicated global economic situation and a weak position in the console market. The consequences will unfortunately be very severe.

The Closure of Xbox Studios

We have seen many times that in times of crisis, employees are always the first to suffer, and this case will be no different, because Microsoft intends to lay off a significant portion of Xbox's personnel. According to Bloomberg, the measure could lead to the closure of very well-known studios, most notably Ninja Theory, and it's hard to understand why Xbox had them announce a new title just a few days ago.

Also at risk of closure are Double Fine, which released Kiln no later than last April, and Compulsion Games, developer of South of Midnight. According to Bloomberg, the studios are currently negotiating with Microsoft to avert closure; a possible solution would be to buy themselves back from Xbox and thus return to being independent, but this would obviously entail making significant investments.