VG247:Microsoft reported revenue of $21.46 billion for the second quarter, up 3% year-on-year, but its Entertainment and Devices Division was not so successful.
Microsoft has closed a number of Bethesda studios, including Redfall maker Arkane Austin, Hi-Fi Rush developer Tango Gameworks, and more in devastating cuts at Bethesda, IGN can confirm.
Hi-Fi Rush studio??? Seriously?? Goes to show quality matters lil to MS.
Worst gen ever. All big 3 battling are for who sucks the most. They just keep one upping one another.
This does feel like a “quick Sony is getting shit on for Helldivers, let’s announce it now to minimise impact”
That is silly. Let's say there is some weird conspiracy. This announcement would effectively take ALL the attention away from the HD2 situation, especially since there is no longer an HD2 situation. I don't think anything will minimize this impact.
... so they announce it on a Tuesday? 36 hours after Sony cleared up everything?
You people care more about the next conspiracy than anything else.
Nevermind that Sony followed the golden rule of minimizing impact by announcing horrible news on a Friday.
The constant weekly weird Sony drama is part of the industry's problem. Everyone else feels they can get away with murder. Also, what is the point of spending all that money if you just start shutting studios down. And... Redfall wasn't Arkane's fought. Microsoft new the shape the game was in but needed something for GamePass after a whole year of no releases into the service. Them taking it out on Arkane seems really disingenuous and distasteful. And WTF did Tango do? Didn't Todd just release a statement saying how he would never retire. Fire his ass.
Yes it does. Arkane Austin I can understand but Tango Gameworks made an excellent game in Hi Fi Rush.
On review, it want really all on Austin for Redfall and its failure, they were forced to make a multiplayer games when their expertise was always single player driven first person games.
"I don't think anything will minimize this impact."
It already has. Notice your comment(or lack there of) vs HD2.
On another note, I would like to see Microsoft buy more studios and do more shadows drops on subscription services like they did Hi-Fi Rush. It's great for the industry I was told by people on here.
10/10 deflection, the ol' Sony too deflect...
Let's not discuss the fact that PlayStations struggles have largely been caused by the fact that game pass has reshaped how consumers spend causing them to spend less as they play what is on subscriptions and don't buy games as much because they either have become subscription gamers or they fear the game will come to a subscription so they don't buy things.
And it's not just PlayStation, the whole industry has been effected, many big studios are struggling across the board to match sales targets from pre-game pass releases which is especially apparent in things like sequels.
Heck the best example was Microsoft's own Starfield which should have easily blasted past 10m sales by the end of 2023 going by sales of similar Bethesda games yet was only able to achieve 3m which of course was almost entirely on Steam.
Or maybe it's because Sony hasn't released multiple worthwhile SP games like they normally do each gen and the ones they did released actually sold well.
Layoffs aren't because studios are struggling, but because major publishers want to maximise profit gains.
Absolutely it's a service that's changed the way we view and consume games overall for the worse games have little value when they are part of a sub and become disposable doubly so if they are a day 1 freebie often it's the kiss of death for a game to be day 1 on gamepass as PlayStation players look at it like why do I have to pay 60 dollars for back 4 blood, payday 3 or outriders it'll be on PS plus soon enough and funny enough those games always fail to meet expectations sales are poor and longevity is poor.
When I see a game get a day 1 tag outside of first party my first thought is always something is wrong with it and it can't stand on its own feet so the publisher has made a deal to recoup development cost.
Even first party games have dropped in quality noticeably so since gamepass with gears 5 being the only good release I can think of since gamepass started
Wasn't aware that Gamepass is available on PlayStation.
Or are you telling us that a service from a console lacking in sales is so great that it affects the morale and buying habits of ppl lacking access to the service?
Also pretty sure that saying all of them competing for who sucks means the whole industry and not just Sony and MS.
This is what people online want. They just don't know or understand it. So many have warned about consolidation, and exactly what they have fear has been happening
This isn't the end, expect more bought out studios to be closed in the next few years
Spot on. All in the name "growth" to appease investors and shareholders. Can't sustain the lie though...it will always implode as illustrated by these closures. Applies to MS and Embracer.
I just don’t know how the hell a company that can spend $67b to purchase a publisher decided that it’s okay to close the studio that produces their best game last year.
Whoever the higher up there that decides this is completely out of touch of how the game industry works, the damn xbox division as a whole would’ve been closed already if they weren’t sustained by other MS divisions.
I got in an argument with someone on reddit and they weren't haven't that Xbox isn't propped up by other divisions argument. They swore up and down that Xbox was pulling its own weight. I just stopped after a couple back and forths
So this is what happens when you're pleased with the sales and investing in the studio? Good guy Phil at it again.
From Aaron Greenburg:
"Hi-Fi RUSH was a break out hit for us and our players in all key measurements and expectations. We couldn’t be happier with what the team at Tango Gameworks delivered with this surprise release."
😂😂😂 🤥🤥
Once again MS creates their own problems and they create their own animosity. Idc about their shitty excuse and "reasons" they're a incompetent company, plus all their Xbox fanboy influencers are dwindling I noticed. How many excuses can you make for a company like MS? Consoles are down and they're losing their own fanboy influencers also. That's all they had to cheer lead them now they're leaving them. Pretty nobody will be on MS dude no matter if they (if they ever but I doubt it) get their act together.
Trashy ass ppl and company....
If they go under eventual it's because of their own doing nobody else's.
Prey was fantastic. Red fall was shit because they were forced to do shit they didn't want to make.
Atkane Lyon did death loop I believe....I hated that one.
@shinoff2183
Because Prey was creative and different
Other than the live service Redfall, all other single-player Arkane projects have been creative and interesting
@Crows90
So just because people don't want to do something in life...bad quality is excused? Look what happened over that bad quality? no more studio
Will be more soon, I've said it before I can't see MS keeping Bethesda. I think they'll strip it's IPs and slowly close everything, it's what they do.
No one wants to admit it, but yeah MS has a long history of pillaging other smaller corporations for IP and dispensing with everything else.
Well xbox fans you got what you asked for... and honestly deserved...
It was so easily predictable that game pass was never going to be able to support all these studios.
If Microsoft can't win they are going to burn it all to the ground...
Countdown to Phil Spencer telling us "it's better for the gamers this way" yet again.
@Barlos They indirectly did. Every person who made a wish list of who Microsoft should buy next and were sending tweets to Phil Spencer and Xbox with proposed studios, played a part.
The saddest part is the studios were closed because of the underperformance of their last games, and if they had been given a chance then their next games could’ve been great and succeeded. But it is the same old Phil Spencer Microsoft problem which is not giving them a chance, and that’s why he is not able to manage game studios.
Yeah they did. Just because they refused to see what everyone with a brain was telling them doesn't mean they didn't know. They were told, they should've put up a fight and they didn't. This is the result. But who knows even if MS' fans weren't such boot-lickers, MS could've carried this out against their fans wishes anyway. Unfortunately, we have the hardcore MS defense bots running to deflect from any bad news and maybe, just maybe, MS felt empowered to do more damage as a result of their fans cheering this all on.
Xbox fans were to busy daydreaming of Ms curbstopping Sony they didn't look at the big picture.
Not disagreeing at all.
I want to add that from the day Microsoft announced game pass, before they even started buying up studios it was obvious that game pass wasn't going to be able to support itself.
It was so dumb that they doubled down on it by spending 100B on a service they knew only existed through subsidization.
They should have realized there was no way that adding massively more costs on a subscription they were subsidizing was certain to fail. Especially after seeing how it had devastated sales across the platform as a whole.
Heck by the time this generation started during covid when the console sales were similar PlayStation was already outselling xbox on multiplatform games 8:1 yet they still doubled down on it.
This is beyond wrong. Like wtf!? Especially Tango Gameworks with Hi-Fi Rush. I've heard nothing but good things about that game. Just because Arkane Austin screwed up one game release doesn't mean you need to close them. It sounds like they were forced to do a multiplayer game when they're a single player studio. They could have made a Prey 2 or some other game next.
Just wow awful news.
"Xbox says Hi-Fi Rush was a success "in all key measurements" amid rumors of poor sales. Following rumors that Tango Gameworks' Hi-Fish Rush didn't meet sales expectations, Xbox marketing VP Aaron Greenburg is defending the "break out hit" as a success by all metrics."
According to Aaron Greenburg it was a success so they shouldn't have even needed PlayStation owners to buy it. That being said, I bought it and really enjoyed it, it's a great game. Shame MS closed them down.
@Romulus23
All lies by the Green Bug, that just means that a lot of people fired bullets or whatever in the game, that's the key measurements they care to share.
Tango did NOT deserve to be closed down, they have not released a single bad game.
That's usually what happens when you don't release it at the same time as other platforms....same thing happened with tomb raider reboot sequel. MS got exclusivity for a year and then when it came to PlayStation it barely sold. Nobody cared anymore.
Well... I did my part. Hi-Fi Rush is a good game, but I don't think its MS' style. We don't really know how well it did or didn't perform by the numbers or whether it broke even. This could just be another MS blunder.
I can only imagine the little amount of revenue both games generated, sent straight to gamepass and excluded from the largest current gen console userbase. Not to say both games would have done well if they were on PS5 too, but you heavily damage to a games revenue when you put it on a stagnating sub service for a poorly selling console, can't really see people going out in droves to sub to GP to play this.
Gamepass subs(most of Xbox players) don't buy games all like that so it's not sustainable. It's reality.
Yea Austin made one of the most creative game of last gen with Prey and were forced to take risk with Redfall and now the whole studio is being closed.
Yes, that Tango gameworks/ Hi-Fi closure was an eye opener for me as well. Neither played it nor was interested in it myself but all I heard was everyone acting like it was the second coming of guitar hero or something.
I don't know what else to say other than modern gaming is an overwhelming sea of mediocrity and there's not enough voices of reason speaking up and saying that most games made these days are just not very good.
Your playing the wrong games then. There's always been shovelware type games. Going back to wii, snes, nes, ps1 Xbox og. That's a bs blanket statement. As an older gamer since atari days I'd personally say this is a great time. If you can't find anything to play. That's on you
With all that said in no way or form am I speaking of multi-player games, gacha, or whatever. I'm strictly speaking on single player games.
Can't wait to see the usual try spin and play this down. So much for the heroic MS and Phil saving these studios eh.
By the end of the day IGN will be talking about how this is right for the industry. Don't worry, Microsoft's PR is making the call now.
Tango did NOT deserve to be closed down, they have not released a single bad game, and I'm sure Arkhane failed just because they were both rushed and pressured into making a GaaS game they had no experience in doing and no support to get it completed out of the gate.
Not a big deal only hi fi rush was good
Sony has closed
Manchester studio
Japan studio
Pixel opus
London studio
Ready At Dawn ...
The difference being Sony has a large group of other studios that have done something positive. Microsoft just closed the studio to the only good game they released in the past year (Hi-Fi Rush).
They all suck as well of course. But MS spent 10s of billions on these publishers for mass consolidation, every made a song and dance about how MS would save them, using their endless Windows, 365 and Azure money to keep them open forever and how Phil was some hero.
Nothing is safe unless it makes money, even for MS.
It is a big deal.
Microsoft has closed
Fasa Studios
Digital Anvil
Ensemble
Lionhead Studios
Press Play
Arkane Austin
Tango Gameworks
Wow how far back do you want to go back.
Lionhead Studios
Aces Game Studio
BigPark
Carbonated Game
Digital Anvil
Ensemble Studios
FASA Studio
Good Science Studio
Hired Gun
Microsoft Studios Japan
Microsoft Studios Victoria
Team Dakota
Xbox Entertainment Studios
Xbox Live Productions
Lift London
Access Software
Salt Lake Games Studio
Twisted Pixel Games
WingNut Interactive
And more before this, this was just their cuts during xbone era that Phil cut while he was at the head.
And some of those PlayStation studios were merged not closed, most of the UK studios were folded into each other.
Japan Studio was renamed to Asobi not closed, aAsobi was an internal team of Japan Studio the "closure" the press misinformed people about was more or less a name change, the studio is in the same building and when the change happened less than 5 people mostly leadership positions chose to leave the studio to form Bokeh Studio, which still works closely with Sony.
And even if your deflection stood on it's own, Microsoft spent 3 Billion 3 years ago almost to the date to buy Zenimax and has already closed 2 of it's biggest studios and decimated Zenimax's support studio structure.
It's no wonder Todd Howard was talking about "more frequent releases" and letting other studios make their IP's games. The days of big budget huge Bethesda games is over...
In fact sadly Microsoft has ushered in the end of big budget gaming as we know it with their obviously unsustainable subscription industry change.
And I feel fully confident that this isn't the end of studio closures from these recently purchased studios.
Ready At Dawn was never a Sony owned studio, and only made a few smaller God of War games and a Jax and Daxter spin off, and of course The Order1866.
They are currently owned by OcUlus Studios.
How many times has MS fired Bethesda staff since they purchased it? I think it's been three rounds so far
London studio what have they made recently. Really the worst one was Japan studio. That sucked.
In reality though your deflecting. The fact of the matter is Ms just closed the studio that made their highest rated game in years. That's insane.
Ready At Dawn was never a PS first party studio.
Manchester was closed and it was proposed that London should be closed, but their website is still up with no news about it being closed on their official site anywhere. So it's possible that the proposed closure just did not happen to get fufilled. Meaning London Studio *MIGHT* still be open running lean.
Phil needs to step down. What kind of usual spin do you want?
More and more people lose jobs but the people at the top stay the same. Hardware sales tank despite billions and billions spent. The math is plain and simple.
I'm still trying to figure out what was the real reason to acquire Bethesda for millions or Billions of dollars if you're closing down studios 🤔 What were their true intentions 🤔 I mean do Microsoft really want to be a third-party publisher? It sounds like they're confused.with their future in gaming
A new survey from Microsoft has further hinted at the possibility of an Xbox handheld being in development.
This is definitely happening, I just hope they have 2 versions one with a much bigger screen.
I'll be happy with this, and a PC console hybrid that rivals anything we have power wise
The problem with bigger devices is playing them on your side in bed, Vita and before that was fine. Since the Switch you gotta have a gooseneck holder & controllers detached so you can lie down holding them, or your arm will quickly get tired.
it kinda already did... https://www.xbox.com/en-US/...
They are just gauging interest in one of their own.
A Xbox version of Logitech G-Cloud?
I mean, why bother? Not like the G cloud is flying off shelves and what would Xbox add to make it better?
They're surely not going to create bespoke architecture here and there are already a few Windows handhelds out there. I have little confidence in their ability to put together an attractive UI in the way Steam did. So I doubt anything will come from this.
i have that logitech g-cloud. Its a sweet little piece of kit. I like that it can also install games from the play store unlike the other android based handheld.
It sure is! Don't understand why you get the down-votes. Whoever does not like the G Cloud must have been dropped down a well, head first, when they were of a younger age.
I wonder if Microsoft will perform better in Japan if they do actually make a handheld since everyone says handheld and mobile are king over there.
This looks like the future of the game industry... all three platforms with a handheld option.
I wonder if the Playstation Portal is a technology test-bed/prototype for a future Playstation handheld?
It’s a possibility but I can’t help but think would that be the best way to go about it? Though it would give you data on how much it is used and game type. It’s still not a true portable device and so people approach it differently. I think that data on phones, tablets, and of course the competition would give a better indication.
But I really think if Sony is considering a new PSP that could play ps5 games, now would be the time to dive in. Honestly, if they do this, it would be huge.
Doubt if Sony PS wants to support a new handheld with first party games. Something they lacked with the Vita. What they should do is have a handheld that is like the PS Portal which can play all games but play those games on the go as well as at home. Something like that is a better investment.
Agreed that you will probably never see a separate line of games specifically for the handheld (a la PSP or PSVita). The modern economics and expectations of game development make that cost prohibitive. What makes more sense is if the full-fat game on PS5 or PS6 has a special "handheld" profile that is automatically optimized for the lower spec handheld. There would be some significant compromises compared to the bigger console variant, but it would be the same game overall and would only require a single purchase.... somewhat what the Switch does with a lower resolution when playing handheld versus docked.
- Xbox Wire - Mark your calendars! The Xbox Games Showcase followed by [REDACTED] Direct airs June 9. More info inside.
And maybe Clockwork Revolution, South of Midnight, Contraband, Project 007 & OD? lol
and whatever happened to Everwild ?
+ that rumored Wu Tang RPG
Tell me what a smarter comment is.
If they don't sell game pass the entire time, then I will be wrong. All of this can be proven once the show gets underway. Let's wait and see.
Replies(1)Wow too easy.
You went from MS going all streaming to selling gamepass content in which we all know they are.
Which one is it?
Pretty clear you don't know what a smart comment is at least you admit you don't know.
"Another game pass event with their plans to go all streaming."
It's both. I would worry about your own intelligence at this point. It seems that there is not enough to go around for you to worry about how smart other people are.
It's just a regular event announcing games. Nice one captain obvious they're gonna mention gp stuff like they do every year what else is new.
The all streaming part is just you, being you I guess. They have streaming options but going all streaming again is just you pulling stuff outta thin air.
No you said something dumb then you tried to back track and mention GP.
Again make smart comments for once.
For a brief moment I thought we might get a whole Direct for Gears 6 - seems like it's COD though!
This is not good.
It's almost like Sony in reverse. Sony lose money from divisions NOT related to their games division and Microsoft lose money from their games division but not their other divisions. Which company is likely to support the hardcore gamer next gen? I think that extra, but slower memory is likely to be used for Windows 8 and Kinect, while Sony's faster, but less ram will be leveraged to offer 1080p games at 60fps. Of course both will offer some of the other, but this I think is going to be the main battle ground.
This will be on top of N4G.
MS still made profit in the division though
"Although Xbox isn’t the only business stream in the division, Microsoft made it clear the console was to blame."
Mircosoft blaming their game console for not having bigger profits