Xbox’s Obsidian Studio Dismisses Shutdown Rumors

▼ Summary
– A rumor that Obsidian Entertainment might shut down was reported by The Game Business, but Bloomberg’s Jason Schreier confirmed the studio is not at risk of closure.
– Schreier stated on BlueSky that Xbox is keeping Obsidian, though details about layoffs remain unclear and will be clarified on Monday.
– The article’s sources never indicated Obsidian was among studios facing closure or sale, reinforcing Schreier’s rebuttal.
– The author expresses frustration with frequent Xbox rumors, noting they disrupt the enjoyment of gaming and fuel distrust in the brand.
– The article concludes that Xbox needs internal change, and the author hopes affected employees will recover from any upcoming industry shake-ups.
It’s becoming a tiresome routine: a rumor surfaces, panic spreads, and before long, another Xbox studio is supposedly on the chopping block. This time, the target was Obsidian Entertainment, the acclaimed developer behind Fallout: New Vegas, Grounded, and The Outer Worlds. And once again, the whispers have been swiftly dismissed.
The speculation began with a report from The Game Business, suggesting that Obsidian could be facing closure. But the rebuttal came quickly, and from a source with an impeccable track record. Bloomberg’s Jason Schreier took to BlueSky to set the record straight. “Despite a report this morning, I can confirm that Obsidian is not in negotiations to avoid shutting down,” he wrote. “Plenty of details are still up in the air surrounding the layoffs (picture will be clear on Monday), but Xbox is keeping Obsidian, according to people familiar with the situation.”
Our own sources have never once indicated that Obsidian was among the studios being considered for closure or sale. Still, Schreier’s confirmation is the final word here. The rumor, it seems, was baseless.
We won’t have to wait long for clarity on what’s actually happening at Xbox. I’m relieved that the uncertainty may finally be ending, but I’m also bracing for the inevitable flood of news. My fingers are already preparing for a marathon of frantic reporting. Perhaps a grip strengthener wouldn’t be a bad investment.
What’s most telling, however, is the sheer number of people who believed Xbox might actually shutter Obsidian. That level of distrust surrounding the brand is a red flag. Something within Xbox needs to change. I hope those affected by whatever comes next land on their feet, and that the fallout isn’t as catastrophic as many fear.
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(Source: Windows Central)




