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State of Decay 3

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Documents about State of Decay 3

Cover of How Undead Labs saved itself and State of Decay from oblivion
42 min
The Game Business42 min

How Undead Labs saved itself and State of Decay from oblivion

Undead Labs has successfully navigated a complex transition from a Microsoft-owned entity to an independent, employee-owned studio.

  • Undead Labs transitioned from a Microsoft-owned entity to an independent, employee-owned studio to ensure the long-term viability of the State of Decay franchise.
  • The studio implemented a workforce reduction to align operational costs with its new independent model while issuing stock options to remaining staff to foster shared ownership.
  • The State of Decay franchise has reached a milestone of 25 million players, with significant growth driven by the discoverability and scale of Xbox Game Pass.
The Game BusinessOct 2026
Cover of Xbox To Cut 3,200 Jobs, Get Rid Of Five Studios
19 min
Jason Schreier19 min

Xbox To Cut 3,200 Jobs, Get Rid Of Five Studios

Microsoft has initiated a major restructuring of its Xbox division, characterized by the elimination of 3,200 positions and the divestiture of five studios.

  • Microsoft is cutting 3,200 jobs at Xbox, representing approximately 20% of its 16,000-person workforce, with 1,600 layoffs occurring immediately and the remainder scheduled over the next several months.
  • Xbox is divesting from five studios: Ninja Theory and Undead Labs are being sold, while Double Fine and Compulsion Games will spin off into independent, management-owned entities with rights to their own IP.
  • Arkane is entering a consultation process regarding its future due to French labor laws, as part of a broader strategy to move away from the 'limited integration' model of studio management.
Jason SchreierJul 2026