According to a news report by Bloomberg, many gaming studios, including Compulsion Games, the developer of South of Midnight and We Happy Few, are currently in talks with Microsoft Xbox.
Ninja Theory that developed Devil May Cry and Hellblade and Double Fine, the developer of Psychonauts, are a few of the other studios that are at the risk of being shut down.
The well-known game, South of Midnight, is an action-adventure title that came out in 2025, developed by Compulsion Games and published by Xbox Game Studios.
Another fan favorite title, Hellblade: Senua’s Sacrifice, is an action-adventure game developed by Ninja Theory in 2017. It is the first of the Hellblade series.
Xbox announces a major rebrand
It is important to note that Xbox CEO, Asha Sharma recently announced a rebrand of the company where she said that tough decisions lie ahead for the gaming company’s rebrand.
She also criticised previous Xbox Game Pass choices for negatively impacting subscriptions, but mentioned that a recent price reduction for the Ultimate tier had helped improve retention.
In view of the situation, Xbox CEO Sharma stated, “We are building a stronger XBOX. That means making hard choices about what we build, where we invest, and what kind of company we need to be going forward with.”
When asked about her goals for Xbox by 2030 in a news interview, she expressed her desire for Xbox to become the number one company in gaming and entertainment.
“I would love to see us become the number one gaming and entertainment company”, she added.
Read more: Xbox CEO warns of tough decisions ahead of gaming rebrand
