A Hi-Fi Rush sequel and an immersive sim in the same vein as Dishonored were reportedly in the pitching stages at Tango Gameworks and Arkane Austin when Xbox announced both studios’ closures yesterday. This news comes alongside a warning that more cost-cutting measures are underway throughout Xbox business teams.
Bloomberg’s Jason Schreier reported that he has spoken with multiple people who either were laid off from the closures or have seen the events of the last 24 hours unfold. According to former Tango Gameworks employees, a sequel to Hi-Fi Rush was in the very early stages, currently being pitched to Xbox, though it had not been greenlit for production.
The same was true of a new game from Arkane Austin that was looking to bring the studio back to its roots after the unfortunate release of Redfall last year. The game is described as an “immersive sim” that could have potentially turned into a new Dishonored game, but may have been something with just a similar playstyle, similar to Deathloop.
Why were Tango Gameworks and Arkane Austin shut down?
We also learned a bit more about why these studios were shut down, and if you were heartbroken by yesterday’s news, you’re likely only going to be angry by today’s. According to Schreier, Matt Booty held a town hall meeting with Zenimax staff and said Tango Gameworks and Arkane Austin were not closed because of any underperformance sales-wise with their games. They were closed down because those new games they were pitching wouldn’t be out for a long time and would be expensive. Additionally, head of Zenimax Jill Braff expressed that they had too many studios to focus on and needed to close some so they wouldn’t “topple over.”
The more that comes out, the worse that Xbox leadership is beginning to look as they handle their Zenimax and Activision acquisitions. After spending over $70 billion on the two companies, many thought that Phil Spencer and his team were up to the task of better equipping studios like Tango Gameworks and Arkane Austin with the assets and backing to prolong their successful lives, not shorten them.
