The head of Xbox Game Studios, Matt Booty, organised a town hall to shed light on the video game publisher’s future goals on Thursday, The Verge reported.
The development comes a day after Microsoft announced that it would shut down multiple gaming subsidiaries.
Booty informed employees about the company’s strategic shift towards developing small games that enhance the company’s prestige and win awards, as per internal remarks shared with The Verge.
Surprisingly, Microsoft recently shut down the Japanese developer Tango Gameworks, which was coming off the small, prestigious hit game Hi-Fi Rush.
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Hi-Fi Rush was highly acclaimed and just four months after its release, the game reportedly hit three million players. Additionally, Hi-Fi Rush went on to win multiple accolades during the 2023–2024 awards season, including a Game Award, a Game Developers Choice award, and a BAFTA.
Additionally, Microsoft shut down the esteemed game studio Arkane Austin and Alpha Dog, based in Canada. Roundhouse Games will also integrate into ZeniMax Online Studios, the creative force behind The Elder Scrolls Online.