Xbox Announces Reset, Ubisoft Closes Studios, Tomb Raider Previews
The video game industry is facing another wave of corporate restructuring as both Microsoft and Ubisoft prepare for major staff reductions and studio closures. Amidst the corporate turbulence, hands-on previews for highly anticipated remakes and sequels have begun to paint a clearer picture of the upcoming release calendar.
Xbox Announces Business Reset Ahead of Major July Layoffs
Xbox leadership has issued an internal memo outlining a "business reset" that is expected to result in significant layoffs in July 2026 . Newly appointed Xbox CEO Asha Sharma and Xbox Game Studios head Matt Booty warned employees that the division must reassess its investment priorities and reduce its reliance on external vendors
. The upcoming cuts, which are scheduled to take place shortly after the close of Microsoft's fiscal year on June 30, could also result in studio closures or major lineup changes
.
In an interview discussing the restructuring, Sharma admitted that the Xbox business is currently "not particularly healthy" . Consequently, the publisher is limiting its immediate console exclusivity strategy to select signature titles like Gears of War: E-Day and Clockwork Revolution, though it may pursue more exclusives if financial health improves
. Separately, Xbox's new chief strategy officer Matthew Ball suggested that rising hardware prices present a strong opportunity for cloud game streaming, while reiterating his belief in the potential of in-game advertising
.
Despite the internal turmoil, Xbox executives claim that development on highly anticipated projects remains on track. Matt Booty confirmed he has seen early builds of Bethesda Game Studios' The Elder Scrolls VI, stating that the game is progressing well and "looks amazing," though a release date remains years away . Playground Games also recently released a 30-minute gameplay demo for its upcoming Fable reboot, which is scheduled to launch in February 2027
.
Ubisoft Shuts Down Multiple Studios in Latest Round of Cuts
Ubisoft is continuing its global restructuring efforts by closing two of its smaller development houses, Ubisoft Winnipeg and Ubisoft Belgrade . The publisher is also restructuring Ubisoft Barcelona to focus exclusively on the Rainbow Six franchise, while laying off dozens of employees at its San Francisco office
.
These combined actions put up to 380 jobs at risk across the company's global network . This latest round of cuts follows previous studio closures and layoffs enacted by the French publisher earlier this year
.
Tomb Raider Legacy of Atlantis Previews Reveal Modernized Classic Gameplay
First hands-on previews for Tomb Raider: Legacy of Atlantis have emerged from Summer Game Fest, offering a detailed look at the upcoming reimagining of Lara Croft's original 1996 adventure . Developed by Crystal Dynamics and Flying Wild Hog, the title is scheduled to launch on the Nintendo Switch 2 next year
.
Early impressions indicate that the game successfully blends the precise, grid-based movement of the classic era with modernized combat, puzzle-solving, and exploration mechanics . The developers aim to move past the gritty tone of the recent Survivor trilogy, presenting a more confident Lara Croft exploring vibrant, blue-sky environments
.
Resident Evil Veronica Remake Will Feature Fixed Third Person Perspective
Capcom has clarified that its upcoming survival horror remake, Resident Evil Veronica, will be played entirely from a third-person perspective on PlayStation 5 . While the game's reveal trailer featured first-person footage, producer Yoshiaki Hirabayashi confirmed this was a deliberate misdirect and that the final game will not allow players to swap between first- and third-person views
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The development team plans to restructure the original story to establish stronger narrative continuity with Capcom's modern Resident Evil remakes . The title has already surpassed one million wishlists on digital storefronts following its official announcement last week
.