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Windows Central
Windows Central
Technology
Brendan Lowry

"We are expanding opportunities to collaborate": Former Xbox studio Compulsion Games hopes to team up with other devs following layoffs and divestment

Hazel and a companion in South of Midnight.

One week after Microsoft and Xbox began a large series of "reset" 3,200 layoffs across the gaming brand that saw 1,600 devs let go immediately and four studios split from the company, Compulsion Games — one of the teams divested — has now signaled how it intends to move forward.

In a new post on LinkedIn, the studio behind the action-adventure games We Happy Few and 2025's award-winning Xbox title South of Midnight reaffirmed that it will continue on as an independent developer, while also announcing that it's "expanding opportunities to collaborate with studios across the games and entertainment industry."

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