Report: New Layoffs Cans Avowed Sequel At Obsidian Entertainment To Platform New Fallout Title

XBOX for certain is taking things seriously to find a stable footing for the platform. After previous foreshadowing, XBOX CEO Asha Sharma announced that there will be new changes to XBOX Game Studios. In total, four teams are set to exit: Undead Labs, Double Fine Productions, Compulsion Games, Ninja Theory. There is also Arkane Lyon which is shopping options on where to proceed with the French game studio.

According to The Verge, that is to blame for ongoing development costs on Marvel’s Blade. In a separate report from Bloomberg, Bethesda is being retooled to emphasize on core IPs at the publisher. The report lists Fallout, Doom, The Elder Scrolls, Quake, and Wolfenstein. The decision is understood to utilize more resources to find sooner releases of said franchises.

According to Bloomberg, Obsidian Entertainment is also part of the equation. In the reporting, it is understood that efforts on a sequel to Avowed has been canceled in exchange for a new Fallout title. Unlike the studios being sold off/going independent, Obsidian Entertainment was hit with layoffs. From GameFile, a WARN notice in California indicates about 52 employees were let go as a result.

For the past few years, whispers of a new Fallout game from Obsidian Entertainment has been coined around; specifically a sequel to 2010’s Fallout: New Vegas. From one leaker with credibility, Jeff Grubb did signal that a project was in very early talkings. Of course, this was back in 2022 and things could change in that time.

What makes this announcement even more optimistic is following the update in staffing to Obsidian Entertainment back in December. Ahead of the holiday, it was revealed that Fallout veteran Tim Cain would be joining the game studio. You can read the full report by heading here.

Are you hopeful Obsidian Entertainment ships a new Fallout game?

Source: Bloomberg