Xbox shutting down The Initiative studio and canceling Perfect Dark development

Microsoft confirms major studio closure and project cancellations

Xbox Game Studios head Matt Booty sent out an internal memo announcing some big changes. The company is shutting down The Initiative studio and stopping work on Perfect Dark and Everwild games. They’re also canceling several other projects that haven’t been announced yet.

In his message to staff, Booty explained these decisions are part of a bigger plan to focus resources better in today’s gaming industry. He said they didn’t make these choices easily since each project represents years of hard work from the teams.

The good news is Xbox still has over 40 games in development and plans to keep growing their biggest franchises. They’re also helping affected employees with severance packages and job placement assistance.

Booty thanked all the studio teams for their creativity and said he believes in the direction they’re heading. For workers who lost their jobs, the company is working with HR to find them new positions on other teams when possible.

This news comes after rumors were already circulating about Perfect Dark potentially being canceled. The studio closure affects dozens of developers who were working on what many hoped would be exciting new Xbox exclusives.

It’s rough seeing so many projects get canceled. Perfect Dark had a lot of potential, and now it’s just gone.

That’s tough news. Perfect Dark has been missed for years, and it seemed like they were finally ready to do it right. It’s a shame to see such potential get shut down.

This really stings. I was excited to see what they’d do with Perfect Dark after all these years. The Initiative had serious talent, so it’s brutal watching all that work get tossed. I know the industry’s rough right now, but it feels like we’re losing more games than we’re gaining.