Xbox Games closing multiple studios: Tango Gameworks, Arkane Austin and more

The video game industry is not alright for some. Major news broke on Tuesday that XBox is shutting down multiple studios. Those studios include Arkane Austin, Tango Gameworks, Alpha Dog Studios, and Roundhouse Games. 

Jason Schreier of Bloomberg broke the news on Twitter Tuesday morning. IGN confirmed the news moments later. IGN also obtained access to an email from Matt Booty, head of XBox Games, explaining the cuts. 

“Today I’m sharing changes we are making to our Bethesda and ZeniMax teams. These changes are grounded in prioritizing high-impact titles and further investing in Bethesda’s portfolio of blockbuster games and beloved worlds which you have nurtured over many decades,” Booty said in the statement. “To double down on these franchises and invest to build new ones requires us to look across the business to identify the opportunities that are best positioned for success. This reprioritization of titles and resources means a few teams will be realigned to others and that some of our colleagues will be leaving us.” 

The rest of the statement highlighted the changes that are going to take place. 

Arkane Austin will close, with some members of the team joining other studios across Bethesda. Alpha Dog Studios and Tango Gameworks will close entirely. Roundhouse Games will join Zenimax Online Studios.

These studios are known for some popular entries in gaming. Tango Gameworks created Hi-Fi Rush, one of 2023’s most beloved games which was recently released on Sony PlayStation and Nintendo Switch. Alpha Dog Studios created the revitalized Doom series. Redfall was the recent Arkane release that did not fare well immediately after it was available. 

2023 was a year in which thousands of staffers were laid off, and 2024 has already surpassed those numbers less before the end of quarter two. Many continue to demand answers to why layoffs and studio closures continue to impact the gaming industry at such a high rate.