Close Menu
Best in Gaming
  • Home
  • News
  • PC Games
  • PlayStation
  • Xbox
  • Nintendo
  • Mobile
  • Editor’s Picks
  • Press Release
What's On
RimWorld Just Ditched Unity, and the Results Are Impressive

RimWorld Just Ditched Unity, and the Results Are Impressive

13 October 2026
Ocarina of Time Remake Shows Off Iconic Navi Meme

Ocarina of Time Remake Shows Off Iconic Navi Meme

13 October 2026
God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

13 October 2026
Vibe-Coders Have Come For Nintendo, Which Won’t End Well

Vibe-Coders Have Come For Nintendo, Which Won’t End Well

13 October 2026
Street Fighter 6 Players Can Get Official New Freebie

Street Fighter 6 Players Can Get Official New Freebie

13 October 2026
Facebook X (Twitter) Instagram
Best in Gaming
  • Home
  • News
  • PC Games
  • PlayStation
  • Xbox
  • Nintendo
  • Mobile
  • Editor’s Picks
  • Press Release
Best in Gaming
Home » State Of Decay 3 Studio Lays Off A ‘Significant’ Number Of Developers But Says It Won’t Impact The Game
News

State Of Decay 3 Studio Lays Off A ‘Significant’ Number Of Developers But Says It Won’t Impact The Game

News RoomBy News Room23 September 20263 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
State Of Decay 3 Studio Lays Off A ‘Significant’ Number Of Developers But Says It Won’t Impact The Game

Undead Labs was one of the lucky game studios to escape the current Xbox reset through a sale back to management, but the State of Decay 3 maker didn’t achieve independence completely unscathed. It reported late yesterday that it had actually parted ways with a “significant” number of developers working on the game.

“Today, we announced that Undead Labs is becoming an independent, employee-owned studio,” the studio wrote on LinkedIn. “Our focus going forward is simple: making the best games we can and earning the continued support of the people who choose to spend their time with us. Unfortunately, today we are also saying goodbye to a significant number of our colleagues. It’s difficult to reach this moment knowing that not everyone who helped get us here gets to make the rest of the journey with us.”

The layoffs may have impacted up to 40 of the studio’s developers, according to one source who spoke with Kotaku. Undead Labs did not immediately respond to a request for comment on the total change in headcount following the divestment from Xbox.

The studio has promised a closed beta test for State of Decay 3, the long-awaited next entry in its popular zombie survival sim, as early as the end of 2026. The sequel was first announced back at Xbox’s 2020 summer gaming showcase, but has faced ongoing challenges throughout its development.

“State of Decay 3 remains in active development, and these changes will not impact the game’s launch,” studio head Philip Holt told IGN in a statement. “The team is continuing its work on schedule, and we remain committed to delivering the experience our community has been waiting for. We’re grateful to everyone who has contributed to the game.”

The smaller studios that have been released by Xbox, including Undead Labs, have departed with “their IP, back catalogs, and runway funding,” suggesting that whatever deals were finalized with Microsoft included some amount of post-divestment funding. State of Decay 3 reportedly has a “new publisher,” though who that is exactly hasn’t been announced yet.

“Today the studio that I have been at since its inception 15 years ago fought its way back to independence, at great cost,” FX director John Gronquist posted on LinkedIn yesterday. “Sadly I won’t be making that final leg of the journey with them, being included in the latest round of layoffs. The company and leadership have gone above and beyond to be transparent and treat the process with humanity and respect that is rare in this industry, and I leave with no regrets other than not being there with them at the finish line to ship State of Decay 3.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related News

Ocarina of Time Remake Shows Off Iconic Navi Meme

Ocarina of Time Remake Shows Off Iconic Navi Meme

13 October 2026
God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

13 October 2026
Vibe-Coders Have Come For Nintendo, Which Won’t End Well

Vibe-Coders Have Come For Nintendo, Which Won’t End Well

13 October 2026
9/10 Co-Op Shooter Game on Steam Is Now Permanently Free

9/10 Co-Op Shooter Game on Steam Is Now Permanently Free

13 October 2026
Editors Picks
Ocarina of Time Remake Shows Off Iconic Navi Meme

Ocarina of Time Remake Shows Off Iconic Navi Meme

13 October 2026
God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

God Of War’s Laufey Collector’s Edition Leaves One Important Thing Out: The Game

13 October 2026
Vibe-Coders Have Come For Nintendo, Which Won’t End Well

Vibe-Coders Have Come For Nintendo, Which Won’t End Well

13 October 2026
Street Fighter 6 Players Can Get Official New Freebie

Street Fighter 6 Players Can Get Official New Freebie

13 October 2026
Top Articles
Kingdom Hearts 4’s Playable Disney Heroes Have a Sora-Sized Problem PC Games

Kingdom Hearts 4’s Playable Disney Heroes Have a Sora-Sized Problem

By News Room
9/10 Co-Op Shooter Game on Steam Is Now Permanently Free News

9/10 Co-Op Shooter Game on Steam Is Now Permanently Free

By News Room
Battlefield 6 Comes To Game Pass, As  Microtransaction That Instantly Unlocks All Guns Is Now Available News

Battlefield 6 Comes To Game Pass, As $30 Microtransaction That Instantly Unlocks All Guns Is Now Available

By News Room
Best in Gaming
Facebook X (Twitter) Instagram Pinterest Vimeo YouTube
  • Privacy Policy
  • Terms of use
  • Advertise
  • Contact Us
© 2026 Best in Gaming. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.