The gaming world is abuzz with the latest news from Microsoft, as the tech giant reportedly considers a major overhaul of its studio lineup. Obsidian Entertainment, the acclaimed developer behind Pillars of Eternity and The Outer Worlds, is said to be in negotiations with Xbox to avoid closure. This comes on the heels of rumors surrounding the potential shutdown of other prominent studios, including Arkane and Undead Labs.

The move is part of Microsoft's broader effort to reassess its business and streamline its operations. While the company has not officially confirmed the closures, the writing appears to be on the wall for several of its studios.

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  • Obsidian Entertainment is reportedly in talks with Xbox to avoid closure
  • Arkane, Undead Labs, and other studios may be targeted for shutdown
  • Microsoft's reassessment of its business could lead to widespread layoffs and studio closures
  • The move is seen as part of the company's effort to streamline its operations and focus on key priorities

As the situation continues to unfold, gamers and industry insiders alike are left wondering what the future holds for these beloved studios. Source: Eurogamer