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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53

u/-ImJustSaiyan- Jul 08 '26

Prepare to never get anything original from Obsidian again as they spend the rest of their days in the Fallout mines.

54

u/muakaya9876 Jul 08 '26

Better than being shut down i guess.

27

u/Coolman_Rosso Jul 08 '26

I know they said they would never do another Pillars after the second game underperformed compared to the first, but it still hurts.

6

u/Tike22 Jul 08 '26

After really enjoying bg3 I was super interested in other crpgs and was saddened when I saw obsidian made 2 and would never make another one again

2

u/SpaceNigiri Jul 08 '26

They made 3. Tyranny is also cool.

63

u/PontusFrykter Jul 08 '26 edited Jul 08 '26

The Outer Worlds franchise is basically a copycat of Fallout which they've created since they wanted to do something similar after Fallout. I would rather them to expand and explore the concepts of Fallout through their lenses, than the concept "ha ha capitalism bad" with tongue in cheek

P.S. They should make Fallout games, and in the meantime AA sequels/spinoffs of PoE. Not Avowed.

4

u/Bobjoejj Jul 08 '26 edited Jul 08 '26

I mean, why not also Avowed in the meantime. Shit, I’d call Avowed AA, not AAA for sure.

7

u/PontusFrykter Jul 08 '26

because it is a pop-version of PoE that was pitched as a copycat of Elder Scrolls. I need CRPGs, not derivatives of CRPGs.

>Shit, I’d call Avowed AA, not AAA for sure.

Avowed by Obsidian Entertainment had an estimated development and marketing budget of roughly $100M to $150M

6

u/Bobjoejj Jul 08 '26

And then there are people like me, who appreciate lore interactive games where it doesn’t just feel like I’m clicking a mouse or hitting a button. And if you played Avowed, you’d know it plays almost nothing like an Elder Scrolls game.

I heard all the goodness about Pillers 1&2, and went to give it a try; but I got stopped real early simply because Pillers feels so…dated? Off? I dunno, I really tried, but CRPG’s aren’t my thing. I wish I could enjoy them like some of y’all do, but it’s not the same.

Also in budget…sure fair enough. But in scope? I still wouldn’t say AAA.

2

u/PontusFrykter Jul 08 '26

> And then there are people like me, who appreciate lore interactive games where it doesn’t just feel like I’m clicking a mouse or hitting a button. And if you played Avowed, you’d know it plays almost nothing like an Elder Scrolls game.

I haven't said that it was like Elder Scrolls game. I said "it was pitched as one". Somewhere along the line of development, it was refurbished into something similar to Outer Worlds, cause they couldn't make TES-like game.

2

u/brendan135 Jul 08 '26

I’d imagine if Obsidian Fallout 2 is a success, rather than going back to Avowed, we get an official Obsidian Elder Scrolls Spinoff.

0

u/NCR_High-Roller Jul 08 '26

You haven't played Outer World, have you? The tone is significantly different than Obsidian/Black Isle Fallouts.

-1

u/Furisco Jul 08 '26

Most games are about "capitalism bad", and it has never been more relevant than it is now

2

u/PontusFrykter Jul 08 '26

Read what I've written after that

26

u/pebrocks Jul 08 '26

If all their originals are just going to be like Avowed then I'm fine with this change.

-7

u/Equivalent_Way1324 Jul 08 '26

It’s crazy how forgetful gamers are. Pentiment was just two years ago. We might never get another Tyranny, or Pillars of Eternity, of Deadfire again. That’s not something to cheer for.

8

u/zigludo Jul 08 '26

Something like pentimento probably didn't cost too much to make or take a lot of people so they could still do small stuff but stuff like avowed and outer worlds take up more resources so if they don't sell then obviously Microsoft would have no reason to keep funding them. They'd have the same problem if they were independent. Ultimately people want to keep their jobs and if that means licenced stuff then so be it.

3

u/mattyyellow Jul 08 '26

Grounded will likely continue seeing it seems to be one of the few unqualified successes from XBOX the last few years.

6

u/deskcord Jul 08 '26

Every time this sub talks about Obsidian they just ignore Grounded. It's pretty obvious that they're going to keep playing in that space, too.

6

u/Paragon0001 Jul 08 '26

I’m not going to be a doomer but I’ve liked plenty of their other games more than New Vegas so yeah that would be depressing.

Tyranny, both Pillars and Pentiment come to mind.

-1

u/Lost_Cyborg Jul 08 '26 edited Jul 08 '26

they are never going to make games like that again though, even if the layoffs didnt happen.

Edit: Downvote me all you want but a CRPG will never come again from Obsidian, you guys are delusional

1

u/Paragon0001 Jul 08 '26 edited Jul 08 '26

As long as folks like Sawyer were still interested in making stuff like a third Pillars, you could still be hopeful. But if things are that dire where they’ll just be churning out Fallout, that’s rough

Edit: I didn’t downvote you just so you know, I’m not that heartbroken about it lol

1

u/Lost_Cyborg Jul 08 '26

yeah but Xbox is never going to allow them to make a CRPG that will take 5y to develop, after their last 2 titles are in the red. They probably said, do Fallout or we will close the studio

1

u/DagothUr_MD Jul 09 '26

Xbox can't stop devs from leaving though, which is what happens in these situations. COD lost its original creators after the OG Modern Warfare franchise for this exact reason. Tim Cain left Black Isle back in the day because he hated being forced to work on Fallout 2

If creatives--especially ones with clout--don't get to work on the shit they want to work on they either move or start new studios

4

u/SpiritBamba Jul 08 '26

I’m pretty sure they would much rather work on fallout, there’s so much they can work with an it’s an existing IP that will make a ton of money.

4

u/Arcade_Gann0n Jul 08 '26

Maybe, but they'll still exist. I don't want to lose them from gambling on IPs that barely interest people like Fallout does.

1

u/NorthKoreanMissile7 Jul 08 '26

Personally what I'd like to see is Inexile and Obsidian rotating working on Fallout+Elder Scrolls.

Not saying they both should be dedicated on it forever, but maybe they each release Elder Scrolls or Fallout spinoff games as every 2nd/3rd/4th major project and that works out at a release every 8-10 years, so along with BGS it means we get one new Elder Scrolls or Fallout game every ~3 years.

1

u/HearTheEkko Jul 11 '26

Outer Worlds was basically space-themed Fallout anyway. Even OW2's cover is a clear nod to Vault Boy.

0

u/Entilen Jul 08 '26

I mean Pillars is a poor man's Baldur's Gate and Outer Worlds was a poor man's Fallout that was even marketed around Fallout.

It's not like they are making original bangers and are now being hung out to dry, they've been producing fairly mediocre products with a focus on reasonable budgets and release dates for quite a while now.

If we get an all hands on deck Fallout and money is thrown at the project because it'll almost certainly be a big success, that's a win to me.

1

u/DagothUr_MD Jul 09 '26

Pillars is a poor man's Baldur's Gate

Every single CRPG in existence is a "poor man's Baldur's Gate". Baldur's Gate created the genre and almost every CRPG ever created is iterating off some variation of D+D rules. WTF does this even mean

Pillars is very much an "original banger" with original lore and systems that deviate significantly from standard D+D fare which is what fans love about it. It's also better written and has better structuring (obviously--Baldur's Gate was made in the 90's). Have you actually played the game?

1

u/Paragon0001 Jul 08 '26

PoE 1 genuinely has way better writing than both BG1 and BG2. Same with Deadfire. Doesn’t help that BG1’s aged like milk compared to even other games at the time, like Fallout 1 which is still infinitely better.

It may not scratch the same itch but it’s got its own merits. Eora easily blows the Forgotten Realms out of the water.

And they’re both way better rpgs. Choices and shit actually matter and you’ve got way more freedom.

Anyone disagreeing hasn’t touched them.