Latest Xbox Game News & Updates
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🟩 Xbox, Multi-platformXbox could've had the next Baldur's Gate 3, but just killed its best shot
Obsidian Entertainment had all the tools to make its own answer to Baldur's Gate 3, but Xbox doesn't seem eager to capitalize.
🖥 Xbox, PCMicrosoft filing shows total ZeniMax layoffs at 379, with over half coming from Elder Scrolls Online studio that's lost at least 60% of its staff in the past year
213 from ZeniMax Online Studios, 166 from ZeniMax Media (which includes the layoffs at Bethesda Game Studios).
🟩 Xbox, Multi-platformReport: Obsidian Cancels Avowed Sequel To Begin Work On A New Fallout Game
!Game Informer News(https://www.gameinformer.com/sites/default/files/styles/bodydefault/public/2026/07/09/c8b19bd7/fallout-new-vegas-wallpaper.jpg.webp) Obsidian Entertainment is developing a new Fallout game, according to a report by Bloomberg(https://www.bloomberg.com/news/articles/2026-07-08/microsoft-s-xbox-to-shift-obsidian-studio-to-new-fallout-video-game?accessToken=eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJzb3VyY2UiOiJTdWJzY3JpYmVyR2lmdGVkQXJ0aWNsZSIsImlhdCI6MTc4MzUzMzE2NSwiZXhwIjoxNzg0MTM3OTY1LCJhcnRpY2xlSWQiOiJUSFZBWklWVFRDWk0wMCIsImJjb25uZWN0SWQiOiJCMUVBQkI5NjQ2QUM0REZFQTJBRkI4MjI1MzgyQTJFQSJ9.9UWhy-Whti5Meu89-fQ5LQdZHqAtJVbXoWOcVtFkkU). The report also states that the studio has canceled several in-development projects, including a planned sequel to its 2025 RPG, Avowed. The ongoing layoffs across Xbox’s gaming division(https://gameinformer.com/2026/07/06/xbox-parts-ways-with-five-studios-over-3000-layoffs-announced) have reportedly impacted roughly 25% of Obsidian’s staff, including long-time art director Daniel Alpert. Bloomberg reports that, as part of Xbox’s new initiative to largely focus on its biggest existing franchises, Obsidian’s development pipeline has shifted toward developing a new Fallout game, with studio design director Josh Sawyer at the helm. Obsidian has worked in this universe before, having previously made 2010’s well-received Fallout: New Vegas(https://gameinformer.com/games/falloutnewvegas/b/xbox360/archive/2010/10/18/war-war-never-changes-and-neither-does-fallout.aspx). Obsidian had been working on Avowed 2, which was said to be going well and on track to be announced within the next year. However, the sequel did not fit into Xbox CEO Asha Sharma’s new company strategy. Although that project is effectively shelved, Bloomberg states that some employees will continue working on it as the new Fallout comes together in hopes of a potential revival. Avowed was one of three games Obsidian released in 2025, alongside Grounded 2 (which launched in Early Access) and The Outer Worlds 2. Unfortunately, although Avowed and The Outer Worlds 2 garnered generally positive reviews, both underperformed in sales. Despite pivoting to a new Fallout, Obsidian will also continue working on Grounded 2 and DLC for The Outer Worlds 2. For more on Xbox's massive ongoing restructuring, read about how Doom developer id Software lost roughly half of its staff(https://gameinformer.com/2026/07/07/doom-developer-id-software-reportedly-loses-roughly-half-its-staff-to-layoffs). You can also read how Hitman developer IO Interactive regained ownership of its online RPG Project Fantasy(https://gameinformer.com/2026/07/07/io-interactive-regains-ownership-of-project-fantasy-following-xbox-split) following its split from Xbox. For more on Obsidian, check out our reviews for Avowed(https://gameinformer.com/review/avowed/high-fun-per-square-foot) and The Outer Worlds 2(https://gameinformer.com/review/the-outer-worlds-2/exemplary-choice). Source: Bloomberg(https://www.bloomberg.com/news/articles/2026-07-08/microsoft-s-xbox-to-shift-obsidian-studio-to-new-fallout-video-game?accessToken=eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJzb3VyY2UiOiJTdWJzY3JpYmVyR2lmdGVkQXJ0aWNsZSIsImlhdCI6MTc4MzUzMzE2NSwiZXhwIjoxNzg0MTM3OTY1LCJhcnRpY2xlSWQiOiJUSFZBWklWVFRDWk0wMCIsImJjb25uZWN0SWQiOiJCMUVBQkI5NjQ2QUM0REZFQTJBRkI4MjI1MzgyQTJFQSJ9.9UWhy-Whti5Meu89-fQ5LQdZHqAtJVbXoWOcVtFkkU)
🟩 Xbox, Multi-platformXbox has put The Elder Scrolls 6 in jeopardy, devs working on RPG say
Though Xbox is shifting its focus to bigger franchises like Elder Scrolls 6 and Fallout, layoffs are threatening the future of Bethesda's hyped sequel
🖥 PlayStation, Xbox, PCAC Black Flag Resynced: How to get Diving Bell
!(https://assetsio.gnwcdn.com/diving-bell-black-flag-resynced.jpg?width=690&quality=85&format=jpg&auto=webp) One of the major changes(https://www.rockpapershotgun.com/assassins-creed-black-flag-resynced-all-the-major-differences) between Assassin's Creed Black Flag Resynced and the 2013 original is the fact that Edward Kenway can dive anywhere. While deep diving expeditions were previously limited to specific shipwreck sites on your map, Resynced now allows Edward to explore the dark depths of the ocean to his heart's content, as long as you have the Diving Bell. Getting the Diving Bell isn't difficult, but it does take a few hours of playing Resynced. If you've been itching for a chance to explore the sea as soon as possible, this guide explains how to get the Diving Bell in Assassin's Creed Black Flag Resynced and how to use it to start swimming for lost treasures in the ocean. Read more(https://www.rockpapershotgun.com/ac-black-flag-resynced-how-to-get-diving-bell)
🖥 Xbox, PCXbox layoffs have likely killed another Perfect Dark reboot from the hollowed-out id Software, as well as a John Wick-style gun fu game
It's not even clear what kind of games the newly-carved up id Software can make.
🟩 Xbox, Multi-platformThe Elder Scrolls 6 Devs Fear “More Delays” After Layoffs Have “Crushing Effect On Morale”
The Elder Scrolls 6(https://www.gamespot.com/articles/the-elder-scrolls-6-release-date-trailer-news/1100-6492383/) is one of the biggest upcoming games in the works at the Xbox-owned Bethesda Game Studios. But after Microsoft's sweeping layoffs(https://www.gamespot.com/articles/xbox-layoffs-studio-closures-and-spin-offs-everything-announced-today/), which also impacted BGS, developers there have expressed concerns about the impact on The Elder Scrolls 6 and the possibility of a delay. A source at BGS told IGN(https://www.ign.com/articles/the-elder-scrolls-6-will-suffer-because-of-xbox-layoffs-bethesda-staff-say-fearing-delays-crunch-and-generational-talent-being-replaced-by-contractors) that the developers have been "very excited and hyped" for The Elder Scrolls 6, and that the big Xbox "reset" has "had a crushing effect on morale" at the studio. "We were already running a tight ship and are worried about this delaying the game (though a final release date was not yet chosen as far as we know)," the developer said. The Elder Scrolls 6 was announced in 2018, so it's been in the works for a long time. A recent report from Bloomberg(https://www.bloomberg.com/news/articles/2026-07-07/behind-xbox-s-big-layoffs-a-streaming-strategy-that-failed) said The Elder Scrolls 6 was still a couple years away from releasing, but it remains to be seen if the cuts may impact timelines. Bethesda boss Todd Howard previously said the game may have been announced too soon(https://www.gamespot.com/articles/elder-scrolls-6-was-announced-8-years-ago-today-heres-why-it-didnt-show-up-at-xbox-showcase/). The report cited another Bethesda developer who said "there is a fear" at the studio that the developers will be "replaced by cheaper, contracted labor" or that Bethesda will hire new developers to replace the laid-off ones who will then need to get up to speed with Bethesda's proprietary tools. This, in turn, could lead to "more delays," the developer said, with workers then needing to "crunch to make up on time." Bethesda cutting staff will lead to a "substantial and cascading effect" on The Elder Scrolls 6 and general morale, a developer said. "It's been a mix of every discipline: programmers, artists, and designers," said another source. "One person who's been at the company since Morrowind was cut." In addition to The Elder Scrolls 6, Howard has discussed how the team is planning to make Fallout 5(https://www.gamespot.com/articles/fallout-5-release-date-trailer-news/1100-6522412/) later. At the same time, it was recently reported that Xbox's Obsidian studio is making a new Fallout game(https://www.gamespot.com/articles/new-fallout-game-is-new-focus-for-new-vegas-developer-obsidian-entertainment-report/), with Fallout: New Vegas director Josh Sawyer leading the team. Bethesda higher-up Jill Braff told staff in an email that the company needs to "change course" and focus on projects with the highest likelihood of making money.(https://www.gamespot.com/articles/bethesda-tells-workers-the-company-needs-to-change-course-and-focus-on-games-with-greatest-potential/) Before that, another report said Microsoft was making structural changes to help speed up the development of The Elder Scrolls (and Fallout) games(https://www.gamespot.com/articles/microsoft-considering-spinning-off-xbox-speeding-up-elder-scrolls-and-fallout-game-releases-report/). The Xbox layoffs impacted 1,600 people this week, with another 1,600 people set to lose their jobs in the next year. Beyond the cuts at Xbox, Microsoft is slashing jobs throughout the entire company, with 4,800 roles impacted (about 2.1% of the company's total workforce). In addition to layoffs, Microsoft is divesting of five studios(https://www.gamespot.com/articles/state-of-decay-and-hellblade-devs-are-being-sold-but-buyers-remain-mysterious-for-now/) and cancelling projects, like Avowed 2(https://www.gamespot.com/articles/xbox-kills-obsidians-avowed-sequel-in-the-wake-of-layoffs-report/).
🖥 PlayStation, Xbox, PCAssassin’s Creed Black Flag Resynced: Best settings for PC performance
!(https://assetsio.gnwcdn.com/assassins-creed-black-flag-resynced-01.jpg?width=690&quality=85&format=jpg&auto=webp) This rare hardware-y appearance in Guides Town comes courtesy of a certain remade plunder 'em up, in which I've spent... yeesh, nearly six hours poking around the graphics options in search of Assassin's Creed Black Flag Resynced best settings for PC. In many games, this kind of thing is a doddle, as a lot of individual settings don't affect the performance of modern graphics cards(https://www.rockpapershotgun.com/best-graphics-card) and CPUs(https://www.rockpapershotgun.com/best-cpu-for-gaming) either way – meaning you can keep a bunch of the best-looking settings, while still claiming a tasty framerate boost with just a handful of tactical lowerings. And, in all likelihood, some upscaling. Black Flag Resynced(https://www.rockpapershotgun.com/games/assassins-creed-black-flag-resynced), however, actually does run faster (even if by small margins) when you drop almost any of its 20-plus individual settings, presenting a trickier choice of what to tone down and what to crank up. Still, after much benchmarking – and verifying with normal play - I think I've cracked it. There's a combination of Medium, High, and Ultra High settings that tidily preserve Resynced's windswept good looks, while bumping up performance over the more, some might say needlessly, demanding presets. Read more(https://www.rockpapershotgun.com/assassins-creed-black-flag-resynced-best-settings-for-pc-performance)
🖥 PlayStation, Xbox, PCEchoes of Aincrad release date and launch times
It's almost time for another Sword Art Online RPG.
🖥 Xbox, PCAre you excited for a new Fallout game from Obsidian? You know, given everything
Reader poll: Obsidian might be pivoting to a Fallout game, but only after major layoffs and the cancellation of other projects—how's that landing?
🖥 Xbox, PCLaid-off id Software artist says Microsoft is 'nuking the team into the dirt' and is now the size of a 'support studio'
"This is what insanity and despicable corporate greed looks like," said another artist.
🖥 Xbox, PCBethesda union says company HR forced staff to remove a display honoring their laid-off colleagues
The BGS Union says employees were "almost immediately" instructed to dismantle their memorial.