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Microsoft is closing Redfall and Hi-Fi Rush studios among others

Pictured: Justin Diaz
By Justin Diaz
May 07, 2024
Featured image for Microsoft is closing Redfall and Hi-Fi Rush studios among others

Microsoft is closing Redfall and Hi-Fi Rush studios Arkane Austin and Tango Gameworks according to new reports. It’s also shutting down Alpha Dog Games, which was the studio behind Mighty Doom on Android and iOS, and Roadhouse Games which is being absorbed into Zenimax Online Studios to help with the development of The Elder Scrolls Online.

The studio closures were first reported by IGN (via The Verge), who was able to obtain a copy of the email sent out to employees about the closures from Xbox Studio head Matt Booty. In the email, Booty says the reason for the shutdowns is so the company can “prioritize high-impact titles and further invest in Bethesda’s portfolio of blockbuster games and beloved worlds” that were nurtured by employees over many decades.

Microsoft is closing down Redfall and Hi-Fi Rush studios, but the games will remain available

Some, but not all, of the games from these studios will remain available to players. Alpha Dog Games’ Mighty Doom will be coming offline on August 7. However, Arkane Austin’s Redfall will still be available for purchase. Additionally, the servers are staying online so players can continue to enjoy the content. Microsoft is also going to be providing refunds to players who bought Redfall’s Hero DLC. The official Arkane Studios account on X addressed the Arkane Austin shutdown and provided players with a way to receive the full value of the upgrade.

In a similar post from the official Tango Gamworks account, the studio mentions that all of its games will remain available for players as well. Hi-Fi Rush, The Evil Within, and others can be enjoyed on all platforms they’re currently available on. Hi-Fi Rush, a previous Xbox exclusive, landed on PlayStation earlier this year. The standard edition of that game is also on sale and down to $21.

Microsoft’s latest studio closures are a “gut stab” says Arkane Lyon Creative Director

Microsoft’s recent shutdowns are an unfortunate recurrence that’s been happening throughout the industry for nearly two years. Microsoft is also not alone. PlayStation owner Sony has issued its own studio closures earlier this year. Preceded by numerous layoffs across EA, Activision (pre-Microsoft acquisition), Ubisoft, and many others.

Speaking about the Arkane Austin closure, the Creative Director for Arkane Lyon Dinga Bakaba spoke very candidly about the situation. Calling the closures a “gut stab” and urging executives in the industry to “make employees proud when times are tough.”

While not all of the people working at these studios are leaving Microsoft, Booty confirms that some employees will be laid off. Microsoft earlier this year issued a round of layoffs across Activision Blizzard that totaled around 1,900 employees. None of the layoffs are a good thing, but today’s closure announcements feel particularly strange. Microsoft went through the trouble of buying up studios like Tango Gameworks to secure Hi-Fi Rush as an exclusive. All before releasing it on other platforms and then shutting down the studio entirely. The whole thing just feels like a weird strategy for the Xbox ecosystem that doesn’t make sense.