Multiple Xbox Game Studios Reportedly Facing Closure, Including Ninja Theory
Multiple outlets report that several studios under Xbox Game Studios are at risk of closure, with Ninja Theory, Compulsion Games, and Double Fine named as those facing potential shutdown or forced independence. According to The Verge, Ninja Theory staff were informed of the closure on June 15, 2026, and the studio hopes a buyer can be found. Bloomberg reports that Compulsion Games and Double Fine are in discussions to leave Xbox Game Studios. The reports follow the recent resignation of Xbox Game Studios head Craig Duncan and Chief of Staff Louise O'Connor, as reported by The Game Business. These moves come after Xbox CEO Asha Sharma announced a business reset earlier this year, which included plans for large-scale layoffs and budget cuts. The studios in question were all acquired by Microsoft between 2018 and 2019. Ninja Theory had just announced a new title, 'Senua', at the Xbox Games Showcase days before the reported closure. Microsoft has not officially commented on the reports.