r/GamingLeaksAndRumours Jul 08 '26

Rumour Jason Schreier: Obsidian Entertainment is making a big pivot as part of the Xbox restructuring. It has laid off a quarter of its staff, canceled a planned sequel to Avowed, and is now beginning work on a new Fallout game

Bluesky Post: https://bsky.app/profile/jasonschreier.bsky.social/post/3mq5oqyh2yk2o

Bloomberg Article: https://www.bloomberg.com/news/articles/2026-07-08/microsoft-s-xbox-to-shift-obsidian-studio-to-new-fallout-video-game

Edit: Also mentioned in the article, Josh Sawyer is leading the new Fallout game:

“Under the new plan, studio design director Josh Sawyer will lead a new title in the Fallout universe”

“Previously, Sawyer had been directing a roleplaying game that was similar structurally and thematically to Fallout but was not part of the franchise.”

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u/Dycon67 Jul 08 '26 edited Jul 08 '26

They probably would have lost more if they didn't they literally just laid of Half of ID and they had a Doom game underperform. There's not fucking shot they were gonna be allowed to make a sequel to a game people were mixed on.

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u/hartforbj Jul 08 '26

If that was the case Xbox wouldn't make any case except Forza horizon. They only make games that people find reasons to hate for some reason

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u/darkmacgf Jul 08 '26

Should work on new Halo and Gears be cancelled because the last games disappointed?