“It always sucks to see studios close”: Obsidian Boss is Worried about Xbox Closing Other Studios While Being Blissfully Unaware It May Happen to Them Too if ‘Avowed’ Fails

Obsidian faces an uncertain future amid Microsoft's recent studio closures.

Avowed Xbox

SUMMARY

  • Following Microsoft's unexpected closures of Tango Gameworks and Arkane Austin, concerns grow over Obsidian Entertainment's future.
  • Obsidian's mixed track record includes hits like Fallout: New Vegas and misses like Alpha Protocol, with their upcoming RPG Avowed potentially crucial to their survival.
  • Despite reassurances from the developers, the pressure is on for Avowed to deliver commercially as Microsoft's cost-cutting measures loom large.
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Following Microsoft’s recent surprise closures of award-winning studios such as Tango Gameworks (known for hits like The Evil Within and Hi-Fi Rush) and Arkane Austin (Prey, Redfall), we are all left wondering which studio might be next on the chopping block. One studio that should be particularly concerned is Obsidian Entertainment, whose recent track record hasn’t exactly been littered with mega hits.

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Obsidian’s history is a mixed bag of critically acclaimed titles and commercial disappointments. While games like Fallout: New Vegas and Pillars of Eternity have garnered praise from fans and critics alike, others like Alpha Protocol and Tyranny struggled even to find an audience. Even the well-received The Outer Worlds failed to reach the sales heights of some of its closest rivals.

Now, with their upcoming RPG Avowed shrouded in mystery since its announcement in 2020’s Xbox Games Showcase and still lacking a concrete release date even after the latest one, the pressure is on for Obsidian to deliver a commercial success.

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The Importance of Avowed’s Performance

'Avowed' story trailer screenshot featuring a game character looking directly at the camera.
A scene from the latest Story Trailer. | Obsidian Entertainment

Obsidian’s upcoming RPG, Avowed, set in the world of Eora from the Pillars of Eternity series, is a crucial release for the studio. With a focus on player choice, character creation, and a robust dialogue system, fans have been eagerly anticipating the game. However, the lack of a firm release date beyond a vague 2024 window has raised concerns about its development progress.

Game director Carrie Patel and art director Matt Hansen recently discussed Avowed‘s progress and the impact of studio closures in a post-Xbox Showcase interview with Eurogamer. While they expressed optimism in the game’s development, the threat of Microsoft’s cost-cutting measures looms large.

I’ll say, just having come from the studio last week, the game is looking fantastic.The team is putting a lot of love into the polish. So we feel very good about 2024.

— Carrie Patel, Game Director & Sr. Narrative Designer at Obsidian Entertainment

Their confidence is admirable, but it’s hard not to worry about what might happen if Avowed fails to meet expectations. Xbox has shown that it’s not afraid to cut dead weight, and if Avowed doesn’t deliver, Obsidian could very well find itself in the same position as Tango Gameworks and Arkane Austin.

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A screenshot from the latest story trailer for Avowed, featuring mystical cosmic elements.
“There is more wonder in this world than eyes alone can see.” | Obsidian Entertainment

I don’t believe in living in fear. Especially if you need to be invested in the creative process – you have to be invested in what you’re making, and you have to believe in it. And I do feel a strong sense of security in being part of Obsidian and, you know, being a part of a studio that was a successful independent developer for almost 15, 20 years.

— Carrie Patel, Game Director & Sr. Narrative Designer at Obsidian Entertainment

Despite these reassurances, it’s tough to ignore the potential effect these closures could have on creativity and risk-taking within Microsoft’s studios. Will developers be less likely to push boundaries and experiment with new ideas if they fear that failure could result in their studio being shut down?

The Future of Xbox’s First-Party Studios

A screenshot from the latest story trailer for Avowed, an upcoming RPG by Obsidian Entertainment.
So that those who remain standing can shape its future.” | Obsidian Entertainment

Microsoft’s justification for the studio closures, as stated by Xbox president Sarah Bond during an interview at Bloomberg Live, is to ensure the long-term health of the business by focusing on “high-impact” franchises. However, this approach sends an unpleasant signal to developers, suggesting that even critically acclaimed titles in a studio’s portfolio may not be enough to guarantee its survival.

For Obsidian, the success of Avowed could determine its fate within the Xbox ecosystem. While the studio remains optimistic, it’s a harsh reality of today’s gaming industry—where even critically acclaimed studios can find themselves shuttered if they don’t meet sales expectations.

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As Patel told Eurogamer:

I’m definitely sad to hear about what’s happened to some of these other studios – it hasn’t diminished my commitment, or my belief in what we’re doing.

Only time will tell if that commitment and belief will be enough to secure Obsidian’s future in the face of the gaming giant’s ruthless business practices.

Avowed is set to release sometime in 2024 for Xbox Series X|S and PC. The game will also be available on Xbox Game Pass from day one.

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Written by Soumyajit Mukherjee

Articles Published: 48

Soumyajit (ign: LockDown) is a die-hard PC gamer with a passion for competitive FPS games, having played Rainbow Six Siege at a competitive level in the past. For nearly two years, he has turned his love for gaming and writing into a profession, delivering the latest gaming news and guides to his readers. And when he is not writing or dominating the lobby in Call of Duty or Valorant, you can find him in theaters watching the latest comic book films or binge-watching anime and thriller flicks!