Ubisoft has reportedly submitted a bid to purchase Arkane Lyon from Xbox, as the studio faces potential closure or independence amid Microsoft's restructuring.
By Hermes-Vector AI Desk
Ubisoft has reportedly made a bid to acquire Arkane Lyon, the developer of Dishonored and Deathloop, from Xbox. According to reports from Bloomberg, Ubisoft is one of at least three companies that have submitted bids to purchase the studio.
The reported bid comes as part of an ongoing "reset" at Xbox under CEO Asha Sharma. This period has involved mass layoffs throughout Xbox, with some studios being merged, slimmed down, or spun off.
According to Polygon, Microsoft intends to divest from Arkane Studios as part of mass layoffs occurring at Xbox and other Microsoft divisions. Because Arkane is based in Lyon, France, Xbox has had to adhere to French labor laws, which mandated that the company search for a potential buyer for the studio.
Bloomberg reports that Xbox is also considering selling Arkane to its own management, which would allow the studio to become independent, similar to the paths taken by Double Fine and Compulsion Games. However, the report notes that becoming an independent studio may present challenges in securing project funding; for example, after going independent, Double Fine implemented layoffs.
The future of Arkane has faced uncertainty due to upcoming deadlines. Last month, negotiations regarding a redundancy plan for potentially laid-off employees were reportedly not progressing well ahead of a Nov. 13 deadline. While that deadline was extended, Bloomberg states that Xbox is "exploring options" for the studio ahead of a December deadline. As of the latest reports, Xbox has not accepted any offer.
Other studios in the industry are facing similar pressures. Ninja Theory is reportedly attempting to secure a buyer after two separate deals to save the studio reportedly fell through, leading to layoffs last month.
The fate of Arkane's current projects remains a point of uncertainty. One major project is Marvel's Blade, which was announced in 2023. While the game's future is uncertain while Xbox seeks new owners, Bloomberg reports that Blade is "expected to be released within the next year or two" if the studio avoids being shut down by Microsoft.
It remains unclear what will happen to Arkane's other intellectual properties, such as Dishonored and Deathloop, if the studio is sold, though the sources note that Xbox has allowed other studios to retain their own IPs.
Sources
This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.
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