Arkane Lyon Faces Closure Amid Xbox Restructuring Efforts
Written with artificial intelligence.
Arkane Lyon, the studio known for Dishonored and Deathloop, has until November 13 to find a buyer or face shutdown. This follows significant layoffs and restructuring at Xbox, affecting multiple studios.
Background on Arkane Lyon
Arkane Lyon, acquired by Microsoft in 2021 as part of the ZeniMax purchase, is now facing an uncertain future. The studio has been identified as one of several first-party studios impacted by Xbox's extensive layoffs, which are part of a broader restructuring strategy led by Xbox CEO Asha Sharma. Reports indicate that 3,200 Xbox employees will ultimately lose their jobs as part of these cuts.
Search for a Buyer
According to a report from French publication Le Monde, Arkane Lyon was informed on July 16 about its potential closure. Due to French law, the studio has until November 13 to find a buyer, as companies with over 1,000 employees must take three months to seek a new owner before proceeding with closure. If no buyer is found, it could mean job losses for approximately 217 employees.
Current Negotiations
Negotiations regarding employee protections and potential redeployments to other Microsoft studios are reportedly not progressing well, according to union representatives. They are advocating for more time to explore various takeover options. Microsoft has stated that it is exploring options for Arkane as part of the ongoing consultation process but has not confirmed the studio's imminent closure.
Impact on Current Projects
The future of Arkane Lyon's current project, Marvel's Blade, remains uncertain. While Xbox has previously claimed that no first-party games would be cancelled amid the cuts, reports indicate that Blade has faced budgetary issues and is now targeting a release in 2027 after delays. Amidst the turmoil, the fate of both the studio and its projects hangs in the balance as restructuring efforts continue.