The “Video game industry is in crisis”. Numerous industry observers have been making this claim for a long time. And actually, that Demerger of Embracer Group and Mass layoffs at large corporations like Sony are clear warning signs.
It becomes particularly tragic when entire developers have to close their doors. That was just last year Saints Row developer Volition happened. Now it still has numerous other studios met. This time out of the house Bethesda.
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Who owns Bethesda?
The publisher and developer Bethesda, like many other studios, belong to the US holding company Zeni Max Media. This was again completed in 2020 acquired by Microsoft for $7.5 billion. Together with Xbox Game Studios and Activision Blizzard, ZeniMax is one of the subsidiaries of Microsoft Gaming represents.
Within the video game industry, however, it has become common practice to speak of Bethesda, although what is actually meant is the lesser-known parent company Zenimax. This is exactly where there is currently a hail of layoffs. But what happened?
Microsoft is closing numerous development studios
This information comes from a circular email from the head of Xbox Game Studios Matt Booty out, the IGN is present. Probably the biggest change is the closure of Arcane Austin The developers have been responsible for, among other things, in the past Prey and Redfall responsible. The company has been part of ZeniMax since 2010.
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Especially that one Vampire shooter Redfall flops is most likely a crucial point in this decision. The Arkanes headquarters in Lyon is spared from this change for the time being and is continuing to work on it Marvel's Blade. Some of the terminated employees are divided within the company:
“This studio [Arkane Austin] will be closed and some members of the team will join other studios to work on projects within Bethesda,” explains Booty. But it still has Met some more developers.
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The final end for Tango Gameworks
It continues with the closure of Tango Gameworkswhich, among other things The Evil Within, Ghostwire:Tokyo and the rhythm game Hi-Fi Rush have worked. And as if that wasn't enough, the Canadian development studio also has to Alpha Dog close up. They only released the mobile offshoot Mighty Doom last year and have been part of ZeniMax since 2021. But even here, Microsoft doesn't stop there.
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Most recently, Xbox announced Roundhouse Studios to integrate into the ZeniMax Online Studios (ZOS). The team has been helping recently, mainly with the development of The Elder Scrolls Online. Booty cites one reason for these changes necessary bundling of existing resources:
“This consolidation of our Bethesda studio teams will allow us to invest even deeper in our games portfolio and new brands”. It goes on to say that the massive interventions in the structures are a clear disruptive factor for the teams:
“These changes do not reflect the creativity and skill of the talented people on these teams, or the risks they have taken to try new things. I acknowledge that these changes are also important to the various support teams at ZeniMax and Bethesda, who bringing our games to market is disruptive.”
The studio closures are part of Microsoft's plan 1,900 developers at Xbox, Bethesda and Activision Blizzard to quit. With news like this, one can only hope that better times will soon come for the industry. It's a truly sad day for the entire video game world.