Microsoft closing Redfall, Hi-Fi Rush studios among other cuts

07.05.2024 - 16:03 / polygon.com / Phil Spencer / Arkane Austin / Matt Booty / Dinga Bakaba

Microsoft is closing four Bethesda studios: Redfall developer Arkane Austin, Mighty Doom developer Alpha Dog Studios, Hi-Fi Rush developer Tango Gameworks, and support studio Roundhouse Games. Xbox Game Studios leader Matt Booty announced the news to staff in an email Tuesday citing a reprioritization of “high-impact titles,” according to IGN. Arkane, Alpha Dog, and Tango Gameworks confirmed the closures on their respective X accounts.

“Today it was announced that Arkane Austin will close and development will not continue on Redfall,” Arkane said in its X post. Arkane Lyon continues development on its own projects, it said. Redfall players who purchased upgrades and were still waiting on DLC will not receive them, Arkane said, pointing those impacted to a Bethesda website where players can eventually apply for credit. Microsoft has not published details yet on how to receive that credit. Booty’s letter to staff said that “some” Arkane staff will join other Bethesda projects.

Microsoft has not responded to Polygon’s request for comment.

Signup here https://t.co/wb1R4m4emj to receive details on how eligible players can receive this credit. pic.twitter.com/69Os17kpQ8

Mighty Doom, a top-down shooter based on the Doom franchise, will go offline on Aug. 7 after the studio closure. Players are no longer able to make purchases in that game, according to the studio’s X post. People who spent real money for in-game currency can also apply for a refund. Tango Gameworks will also close, while Roundhouse Games will merge with ZeniMax Online Studios to work on The Elder Scrolls Online.

Arkane Austin, Alpha Dog Studios, and Tango Gameworks each released a game in 2023: Redfall, Mighty Doom, and Hi-Fi Rush, respectively. Hi-Fi Rush was the most successful of all of them after it was surprise-released early in the year. The action rhythm game was a far cry from Tango Gameworks’ The Evil Within and The Evil Within 2, for which the studio had previously been known. The studio also released Ghostwire: Tokyo and Hero Dice in 2022.

Meanwhile, Redfall from Arkane Austin didn’t live up to expectations — even Microsoft Gaming CEO Phil Spencer called its release “disappointing,” but said the team was still committed to fixing its problems. Both Arkane and Tango Gameworks have been part of ZeniMax for more than a decade.

This is absolutely terrible. Permission to be human: to any executive reading this, friendly reminder that video games are an entertainment/cultural industry, and your business as a corporation is to take care of your artists/entertainers and help them create value for you.

Responding to the closures, Arkane Lyon co-creative director Dinga Bakaba called the cuts “absolutely terrible” in a thread on X.