Obsidian Entertainment
CompanyUnited States
14 documents in the library are about Obsidian Entertainment, from writers such as Jason Schreier, Game File and The Game Business. Each has a summary and key insights with the page they come from.
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On Steam
Steam estimates as of 9 Oct 2026. Revenue is premium revenue on Steam only: game sales, without DLC.
- Revenue as publisher
- $24.6M
- 1 games
- Revenue as developer
- $438.6M
- 17 games
- Units sold
- 30.2M
- as publisher or developer
- Headquarters
- United States
Obsidian Entertainment’s best-selling games on Steam
| Game | Released | Share of the best seller | Revenue | Units |
|---|---|---|---|---|
| Fallout: New VegasDeveloper | 2010 | $83.5M | 13.1M | |
| South Park™: The Stick of Truth™Developer | 2014 | $78.9M | 4.1M | |
| GroundedDeveloper | 2020 | $74.8M | 2.9M | |
| Pillars of EternityDeveloper | 2015 | $51.7M | 1.9M | |
| Grounded 2Developer | 2025 | $25.9M | 1.1M | |
| The Outer WorldsDeveloper | 2020 | $25.3M | 849K | |
| Pillars of Eternity II: DeadfireDeveloper and Publisher | 2018 | $24.6M | 748K | |
| TyrannyDeveloper | 2016 | $17.6M | 1.0M | |
| STAR WARS™ Knights of the Old Republic™ II: The Sith Lords™Developer | 2005 | $16.6M | 2.5M | |
| AvowedDeveloper | 2025 | $12.9M | 262K |
Documents about Obsidian Entertainment
Xbox Layoffs, Halo To Activision, Destiny's Back (And More)
The gaming industry is currently navigating a period of significant structural shifts, characterized by ongoing corporate restructuring, long-term project planning, and strategic pivots for major franchises.
- Microsoft is laying off approximately 300 additional employees as part of an ongoing restructuring, with the company reporting it is now 75% through its planned reset.
- Halo development is being moved to Activision, with a small team remaining at Halo Studios to support existing games and the community, while Playground Games and Turn 10 are merging.
- Bungie has reversed its stance on the future of the Destiny franchise, announcing that Destiny 2 will unvault previous campaigns, destinations, and raids to remain a foundational part of the studio's future.
Report: Bethesda President Tells Obsidian Staff It Won't Lose 'Creative Identity' After Merge
Obsidian Entertainment is undergoing a significant organizational transition following its integration into the Bethesda corporate structure.
- Obsidian Entertainment is being merged into Bethesda as part of a broader restructuring by parent company Xbox.
- Bethesda president Jill Braff stated in an internal email that the merger is primarily a change in reporting structure and will not alter Obsidian's core creative identity.
- The merger follows a period of significant workforce reduction at Obsidian, which included the layoff of at least 52 employees in July 2026.
How Double Fine Survived The Xbox Bloodbath
Double Fine Productions, the San Francisco-based studio led by Tim Schafer, has returned to independence following a seven-year tenure under Microsoft’s Xbox division.
- After seven years under the Xbox umbrella, Double Fine has returned to independence following a shift in Microsoft's corporate strategy under Sarah Bond, which prioritized higher profit margins over the studio's niche, quirky output.
- The transition to independence involved a grueling negotiation process in June 2026, resulting in Double Fine securing ownership of its intellectual property and necessary runway capital, though the studio was forced to lay off 23 employees.
- Double Fine is pivoting to a 'Double Fine Action Labs' model, focusing on smaller, experimental titles and rapid prototyping to mitigate the financial risks associated with high-budget game development.
The Miraculous Story Behind Baldur’s Gate 3
The development and release of Baldur’s Gate 3 represents a significant anomaly in the modern video game industry, characterized by a complex history of licensing, financial instability, and creative perseverance.
- Larian Studios' success with Baldur's Gate 3 is attributed to its status as a rare, large-scale, privately owned developer, which allows it to avoid the short-term pressures of quarterly earnings and investor demands faced by publicly traded companies.
- The development of Baldur's Gate 3 required a massive scaling effort, with the studio growing its workforce from 140 to 450 employees to manage the complex production pipeline required for full cinematic integration.
- Baldur's Gate 3 has achieved significant commercial success, selling over 20 million copies and winning multiple Game of the Year awards despite facing major external challenges, including the COVID-19 pandemic and the forced relocation of staff due to the 2022 Russian invasion of Ukraine.
The Story Behind the Story of an Xbox Studio Scoop
The primary purpose of this account is to provide a behind-the-scenes look at the investigative process used to uncover the departure of the head of ZeniMax Online Studios during a wave of layoffs at Microsoft’s Xbox division in July 2026.
- The head of ZeniMax Online Studios, developer of The Elder Scrolls Online, departed the company as part of Microsoft's broader layoffs within its gaming division.
- Microsoft's recent workforce reductions across its gaming division have impacted approximately 1,600 employees.
- State-level WARN notifications revealed 379 ZeniMax employee layoffs in Maryland and 158 ZeniMax worker layoffs in Texas, with a significant portion of the Texas cuts occurring at id Software.
I Interviewed Todd Howard For The First Time In 15 Years
Bethesda Game Studios has officially announced a new strategic roadmap for the Fallout franchise following a significant organizational restructuring at Xbox.
- Bethesda Game Studios has officially announced Fallout 5, which is currently in pre-production and being developed alongside The Elder Scrolls 6 using the proprietary Creation Engine 3.
- Bethesda confirmed a collaboration with Obsidian Entertainment on a new, unannounced Fallout project, with Bethesda retaining management and supervisory control over the franchise.
- The company announced official remasters for Fallout 3 and Fallout New Vegas, alongside a new Fallout 76 expansion titled 'Raven Rock' scheduled for release next year.
The Xbox Bloodbath Is Actually Way Bigger Than It Seems
The recent restructuring at Xbox, which includes the divestment of five studios and the cancellation of multiple projects, has resulted in a reported 3,200 job cuts.
- The reported 3,200 job cuts at Xbox represent only a fraction of the total industry impact, as the restructuring triggers significant, uncounted layoffs at external co-development and vendor firms.
- Xbox CEO Asha Sharma announced a 50% reduction in vendor spending, which will result in widespread job losses for non-full-time staff who work on Xbox PR, marketing, and IT projects but are not included in official internal layoff figures.
- The cancellation of major projects like 'Perfect Dark' has forced co-development partners, such as Crystal Dynamics and Eidos Montreal, to lay off staff without the ability to publicly disclose their work due to strict non-disclosure agreements.
The Cruelest Part Of Xbox's Layoffs
The recent restructuring at Xbox, characterized by a massive reduction in workforce and the divestment of five studios, has created a climate of profound instability and anxiety for remaining employees.
- Microsoft has announced a major restructuring of its Xbox division, involving the layoff of 3,200 employees and the divestment of five game studios.
- Beyond the primary layoffs, Xbox is cutting its vendor spend by 50%, which will result in significant job losses for contract workers who are not included in the official 3,200-person headcount.
- Employees across Xbox, Blizzard, and ZeniMax are facing prolonged uncertainty, as a second wave of approximately 1,250 layoffs remains pending with no clear timeline for implementation.
Xbox Layoffs Impact ZeniMax and Obsidian Personnel
Microsoft’s gaming division is undergoing a significant workforce reduction, with recent state-level WARN notices detailing the impact on ZeniMax and Obsidian Entertainment personnel.
- Microsoft is executing a long-term strategy to eliminate 3,200 positions from its gaming division by June 2027 to address financial instability.
- ZeniMax and its affiliated studios, including id Software and ZeniMax Online Studios, are facing significant cuts, with 379 roles eliminated in Maryland and 158 in Texas.
- The layoffs impact a broad spectrum of core development functions, including gameplay design, engine programming, quality assurance, art direction, and production.
Of Course, Working at Obsidian Is Like a Real-World RPG
Obsidian Entertainment’s operational philosophy centers on long-term stability and iterative development, aiming to sustain the studio for a century.
- Obsidian Entertainment has released six games since its 2018 acquisition by Microsoft, including three titles in 2025 alone: Avowed, Grounded 2 (Early Access), and The Outer Worlds 2.
- The studio prioritizes long-term staff retention by encouraging employees to 'multi-class' across different roles and projects, aiming to build a deep institutional knowledge of the studio's development ethos.
- Obsidian maintains a conservative, iterative development strategy that focuses on refining existing tech stacks rather than chasing industry-wide AAA trends or massive scale.
The Outer Worlds 2 developer Obsidian has turned its studio into a real world RPG
Obsidian Entertainment maintains a high-volume release schedule by utilizing a multi-team structure that prioritizes iterative development over the risks of massive, singular-project scaling.
- Obsidian Entertainment utilizes a multi-team structure and strategic co-development partnerships, such as with Eidos Montreal, to maintain a high-volume release schedule while avoiding the risks of singular-project scaling.
- The studio has implemented a unique internal tenure program that gamifies employee loyalty by mapping out a twenty-year career path to preserve institutional knowledge.
- Obsidian is shifting its strategic focus away from sequels for established intellectual properties to prioritize the cultivation of original franchises.
About Grounded 2 and All the People Helping to Make It
Obsidian Entertainment is currently developing Grounded 2, a sequel to its survival-crafting title, which features a map triple the size of the original and introduces rideable insects known as buggies.
- Obsidian Entertainment is developing Grounded 2, a survival-crafting sequel featuring a map three times the size of the original and new mechanics such as rideable insects.
- Grounded 2 will launch in early access on Xbox Series and PC, with Obsidian utilizing the program to gather community feedback for refining core features like rideable buggies.
- Eidos Montreal is co-developing Grounded 2, marking a collaborative effort between the two studios to build upon the community-driven model established by the first game.
