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The Latest Breaking News from Compulsion Games

Xbox Layoffs Purge 32% of Phil Spencer's Studio Empire as New CEO Asha Sharma Slashes 3,000 Jobs

New Xbox CEO Asha Sharma has unveiled a sweeping restructure that will cut around 3,000 jobs and spin off four studios, slashing roughly a third of the development empire built under former boss Phil Spencer.

International Business Times UK

Xbox Reveals Stand on Restructuring, Confirms Plans for Bethesda's 'Fallout,' 'The Elder Scrolls,' and More

Xbox's restructuring plans have confirmed what the future holds for Bethesda's franchises, as well as other studios and games.

Player One

Xbox layoffs: CEO Asha Sharma deems historic job cuts a ‘reset’, not a decline

Xbox will eliminate roughly 3,200 roles over FY27, with about 1,600 cuts effective immediately. Four studios — Compulsion Games, Double Fine Productions, Ninja Theory, and Undead Labs — will exit Xbox under new ownership.

The Economic Times

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Compulsion Games is returning to independent management amid sweeping Xbox reorganization: 'Our immediate priority is to support our team'

Evading its previously-reported closure, Compulsion will retain its IP rights as it transitions to independent ownership.

PC Gamer

Every studio affected by Xbox’s ‘reset’ – July 2026 layoffs

A dark day.

Destructoid

Xbox parts ways with 4 studios, with South of Midnight and Psychonauts devs going independent as Arkane begins "required consultation" to "review potential strategic options"

This comes as part of the "most significant restructure in Xbox history," per CEO Asha Sharma

GamesRadar

Microsoft is cutting 3,200 Xbox employees, and half of them will be eliminated today in "the most significant restructure in Xbox history"

"Today’s decisions do not reflect their talent or dedication," new Xbox CEO says of staff

GamesRadar

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Spyro is back with a new game, but the team bringing him to life had to overcome a near‑collapse to finish the project

As pressure to right the XBOX ship continues to bear down on the studios that make our favorite games, the recent reveal of Spyro: A Realm Beyond proves that full-stop closure of established studios isn’t the only way to balance the books. Instead of closing, Toys for Bob was able…

Windows Central

It's not layoffs, but you can see them from here: Numerous Compulsion Games employees are looking for new jobs

The sudden influx of "open to work" posts suggests that fears of major Xbox layoffs in the near future are well founded.

PC Gamer

Compulsion Games begins an unknown number of layoffs at the studio behind South of Midnight and We Happy Few

The developers behind South of Midnight and We Happy Few face ugly news.

Windows Central

As Xbox studios brace for a "reset," South of Midnight developers from Compulsion Games begin looking for work

Some devs have been with the studio for years

GamesRadar

Double Fine Responds With Humor Amid Microsoft's New Xbox Strategy

Double Fine Productions may face closure or a spin-off as Microsoft reassesses Xbox studios, raising concerns about creative independence.

Player One

Amid reports of closures to Ninja Theory and Compulsion Games, Xbox Game Studios CEO Craig Duncan is stepping down from the role after less than two years

Xbox Game Studios CEO Craig Duncan is reportedly stepping down from his position after less than two years in the role.

TechRadar

Xbox Studio Shutdown Rumors Signal Internal Crisis For Double Fine, Ninja Theory, Compulsion Games

Xbox faces studio shutdown rumors as Microsoft targets Double Fine, Ninja Theory, and Compulsion Games amid revenue decline and restructuring plans.

Player One

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Dot Esports

XBOX studios are reportedly trying to spin off as Microsoft weighs more closures

Compulsion, Double Fine, and Ninja Theory are in danger.

Windows Central

Xbox studios Double Fine, Ninja Theory, and others "at risk of being shuttered" according to new report — "active negotiations" for independence are ongoing

Microsoft and Xbox may soon close several of its game studios as part of a planned reorganization of the brand's business, according to a new report.

GamesRadar

Double Fine, Ninja Theory reportedly among multiple Xbox studios rushing to negotiate an exit as Microsoft plans more layoffs

Compulsion Games is seemingly just the start

PC Gamer

Xbox is reportedly closing South of Midnight studio Compulsion Games after bragging about its award-winning developers earlier this year

The shutdown comes just a few days after a report claiming that major layoffs at Xbox were on the way.

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GamesRadar

Latest Microsoft victim reportedly being closed after releasing one game since Xbox acquisition

The new heads of Xbox praised the studio this year

Windows Central

Microsoft and Xbox may close South of Midnight developer Compulsion Games — it was just hiring for a "fascinating, intriguing, brand new IP" [UPDATED]

As Microsoft and Xbox prepare for a huge business reset, it reportedly has plans to shut down South of Midnight developer Compulsion Games.

Destructoid

XBOX reportedly exploring shutdowns of several studios as part of new CEO’s ‘reset’

It begins.

TechRadar

South of Midnight is even better on PS5 than it was on Xbox — PlayStation gamers, you no longer have to miss out on a sublime and underrated mix of fighting, platforming, and Southern Gothic folklore

South of Midnight's gorgeous, stylized presentation really pops on PlayStation 5, while its peppy performance ensures owners of Sony's platform will be fully immersed in one of last year's best single-player, story-driven action-adventures.

Windows Central

“A surprise BAFTA result lands” as South of Midnight outperforms expectations and a new winner takes the spotlight

South of Midnight wins the BAFTA for New Intellectual Property, beating titles like Split Fiction and ARC Raiders, marking Xbox’s only award at this year’s ceremony.

Windows Central

Xbox’s next original game is taking shape as the studio behind South of Midnight begins hiring for a mysterious new project

Compulsion Games is hiring across multiple roles as it begins work on a new IP described as intriguing, according to a recent LinkedIn post from the studio.

Evening Standard

BAFTA Games Awards: Clair Obscur leads the pack with 12 nominations

Clair Obscur, Dispatch and Ghost of Yotei are among the big hitters in this year’s upcoming awards ceremony

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