Xbox has just officially announced the imminent closure of Ninja Theory, the studio behind the Hellblade series. The announcement of Ninja Theory’s closure comes amidst Xbox’s second round of major layoffs this year, which is set to affect an array of first-party studios.
Founded in March 2000, Ninja Theory is an England-based studio that first rose to prominence in the late 2000s with action-adventure titles like Heavenly Sword, Enslaved: Odyssey to the West, and DmC: Devil May Cry. Nowadays, Ninja Theory is likely best known for its Hellblade series, a Norse mythology-inspired duology that turned heads for its impactful subject matter, expert use of spatial audio, and cutting-edge visuals. A little less than a year after the launch of the first Hellblade game, Ninja Theory was acquired by Xbox. And now, eight years later, Ninja Theory is facing complete closure.
Xbox May Be Closing Ninja Theory
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In an Xbox Wire post titled ‘Continuing Our Reset’, Xbox EVP and Chief Content Officer Matt Booty has just announced another round of layoffs at the Microsoft-owned company. This time, a total of 268 employees are being laid off across Halo Studios, other Xbox first-party studios, and Xbox Game Studios’ management layer. Several studios are also being merged together and consolidated, such as Forza Horizon‘s Playground Games and Forza Motorsport‘s Turn 10 Studios.
Rearrange the covers into the correct US release order.
Rearrange the covers into the correct US release order.
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This official statement from Xbox’s Matt Booty also provides an update on the studios that faced closure following the company’s first round of mass layoffs back in July. Compulsion Games and Double Fine have successfully transitioned to an independent structure and have retained the rights to their IP and back catalog. Undead Labs has a new, yet-unannounced owner and will continue to develop State of Decay 3, which Booty confirms will remain a day-one Xbox Game Pass game.
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The future isn’t nearly as bright for developer Ninja Theory, however. Xbox’s announcement states that “two separate agreements” for Ninja Theory have fallen through, and that Xbox is now beginning consultation with employees for a proposed closure of the studio. While Booty states that Xbox is “continuing to explore other paths forward” for Ninja Theory, no other options are directly addressed. Arkane seems to be facing a similar fate, with Xbox confirming that consultation with the studio”remains underway and is expected to continue through the end of the year.”
The news of Ninja Theory’s likely imminent closure comes just 15 weeks after the studio unveiled Senua, the upcoming third entry in its Hellblade series. According to a June report from Game File, Xbox was already considering selling Ninja Theory prior to Senua‘s announcement, and was possibly using the Xbox Showcase reveal as a way to attract potential buyers. Though Booty’s statement does not expressly detail what will happen to Senua if Ninja Theory closes, it seems very likely the studio’s shutdown would result in the project being canceled entirely.
