Microsoft is canceling the development of the Perfect Dark and Everwild games amidst significant layoffs affecting approximately 9,000 employees, including substantial impacts on Turn 10 Studios. In an internal memo, Xbox Game Studios chief Matt Booty outlined the closure of The Initiative, the studio responsible for Perfect Dark. These decisions aim to realign priorities and optimize resources for greater success in an evolving industry. Despite these cuts, the overall strategy remains focused on producing engaging games and maintaining momentum with active projects and franchises through 2026.
We have made the decision to stop development of Perfect Dark and Everwild as well as wind down several unannounced projects across our portfolio.
These decisions, along with other changes across our teams, reflect a broader effort to adjust priorities and focus resources to set up our teams for greater success within a changing industry landscape.
Our overall portfolio strategy is unchanged: build games that excite our players, continue to grow our biggest franchises, and create new stories, worlds, and characters.
For those directly affected, we are working closely with HR and studio leadership to provide support, including severance, career transition assistance, and where possible, opportunities to explore roles on other teams.
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