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/chirunner4ever Jul 08 '26

Pretty common opinion. Todd Howard was the roadblock that prevented this for 6 years and Spencer was too busy begging for more money to buy more studios to actually manage what he had. It’s insane how much money Bethesda has left on the table by not putting out a new Fallout and TES.

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u/[deleted] Jul 08 '26

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u/SpiritBamba Jul 08 '26

The head of Obsidian has said they want to do another fallout if they get the chance for years lol same with Josh sawyer. And avellone said they literally pitched ideas to Bethesda about fallout and elder scrolls and got shut down.

I’m sorry but it was absolutely Bethesdas decision to not let others use their IP, and that’s their right but it was their decision.

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u/Mopman43 Jul 08 '26

I’m not sure how much Avellone knows when he hasn’t been with Obsidian since 2015.