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.
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.
The Importance of Avowed’s Performance
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.
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
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.
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.