Dishonored developer Arkane is reportedly one of five studios Microsoft is targeting to close down as part of its big ‘reset’

Microsoft is reportedly considering closing Arkane Studios, the developer behind the Dishonored series and the in-development Blade action game. According to The Verge, Arkane is one of five Microsoft-owned studios facing potential closure as part of a company restructuring. The other studios reportedly in similar positions are Compulsion Games, Ninja Theory, Double Fine, and Undead Labs.

The potential closure of Arkane would result in the cancellation of the upcoming Blade game. The decision comes despite Todd Howard reportedly stating that the game’s development is progressing well. However, Arkane’s previous titles have not consistently met commercial expectations. Dishonored 2 and Prey failed to match Bethesda’s sales targets, with immersive simulations noted as a challenging genre commercially.

Layoffs connected to this restructuring are scheduled to begin on July 6. This marks another significant moment in what has been a turbulent period for the video game industry, with multiple major publishers undertaking substantial workforce reductions and portfolio changes.

Sources