Xbox Considers Closing Double Fine, Ninja Theory, and Compulsion Games

*Microsoft is reportedly planning to shut several first-party Xbox studios as part of an internal reset.*

Microsoft is moving to close Double Fine, Ninja Theory, and Compulsion Games. The actions form part of a broader studio reset at Xbox.

Polygon reported that the company is currently advancing plans to shutter these teams. Engadget described the same studios as being at risk of closure.

Both outlets cite internal discussions at Microsoft. No official confirmation has been issued by the company.

Prior state

Xbox had acquired Double Fine in 2019, Ninja Theory in 2018, and Compulsion Games earlier. The studios produced titles such as Psychonauts 2, Hellblade, and We Happy Few.

Why it matters

The reported moves would reduce the number of teams delivering first-party games under the Xbox brand. Developers at the affected studios face immediate uncertainty over project continuity and employment.

---

Sources:

• Polygon
• Engadget

{
  "excerpt": "Microsoft is reportedly planning to close Double Fine, Ninja Theory, and Compulsion Games as part of an Xbox studio reset.",
  "suggestedSection": "business",
  "suggestedTags": ["xbox", "microsoft", "game-studios"],
  "imagePrompt": "An empty game development office with abandoned desks, monitors left on, and scattered papers under dim overhead lights. Abstract view of studio workspaces fading into shadow, muted color palette, cinematic lighting, 16:9."
}