Microsoft has made significant cuts at Bethesda studios, impacting several development teams including Arkane Austin, Tango Gameworks, and Alpha Dog Studios. The closure of these studios has led to job losses and the cessation of development on projects such as Redfall and Hi-Fi Rush.

Arkane Austin, known for Redfall, and Tango Gameworks, the studio behind The Evil Within, are among the studios that have been shut down by Microsoft. Additionally, Alpha Dog Studios, responsible for Mighty Doom, will also be closing its doors. These closures come as part of a larger restructuring effort by Microsoft within the Bethesda umbrella.

While specific details on the number of employees affected have not been disclosed, it is clear that the layoffs will have a significant impact on the gaming industry. Microsoft has indicated that Redfall, the vampire co-op game developed by Arkane Austin, will no longer receive updates. However, the game will remain playable online, and Microsoft has promised a compensation offer for players who purchased the Hero DLC.

Despite the closures, some Bethesda studios have been spared. Arkane Lyon, currently working on Marvel’s Blade, and Bethesda Game Studios, known for titles like Fallout and The Elder Scrolls series, will continue their operations.

These developments mark a challenging time for the gaming community as beloved studios face closures and employees grapple with uncertain futures. IGN has reached out to Bethesda and Microsoft for further comment on the situation.