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Xbox Layoffs Hit Bethesda, EA Backs Down, God of War Laufey 2027

Jul 11, 2026 · 10d ago

The fallout from Microsoft's massive Xbox restructuring continues to reverberate across the industry, forcing developers to defend their remaining team sizes while fans push back against aggressive monetization. Amidst the corporate turbulence, major franchises are charting new paths forward, from record-breaking pirate remakes to high-profile physical release confirmations.

Xbox Layoffs Devastate Bethesda Studios as id Software Defends Team Size

Avowed 2 May Still Happen, Obsidian Skeleton Crew Continues WorkFallout 5, The Elder Scrolls 6, Blade, and More: As Xbox Layoffs Hit Hard, What's Going on at Bethesda?Push SquareIGN

The devastating impact of Microsoft's decision to lay off 1,600 Xbox employees—with another 1,600 job cuts planned for the future—is coming to light across its first-party studios Push SquarePush Square. Major Bethesda subsidiaries, including Bethesda Game Studios, Doom developer id Software, and ZeniMax Online Studios, have all been hit hard by the staff reductions IGN. Remaining employees are reportedly being asked to do more with less, leaving those spared in a state of limbo as the layoffs roll out over the fiscal year Push Square.

In response to reports that it lost roughly half its staff, id Software issued a statement assuring fans that it still has the necessary crew to build its signature games and idTech engine EurogamerGamesIndustry.bizIGN. The studio clarified that its current team size is roughly equivalent to when it developed 2016's DOOM reboot PC GamerIGN. Separately, Obsidian Entertainment has shifted its focus to a new Fallout game, leaving a skeleton crew on the internally cancelled Avowed 2 Push Square. To help navigate this transition, Xbox has hired metaverse author Matthew Ball as its new chief strategist PC Gamer.

EU Powerless to Stop Sony Phasing Out Physical Discs as God of War Laufey Confirms 2027 Launch

EU admits it cannot stop Sony killing physical discs – "companies are free to offer games and services in the manner that they see fit"EU Says It's Powerless to Stop PlayStation From Killing Discs: 'Companies Are Free to Offer Games and Services in the Manner They See Fit'EurogamerIGN

The European Union has confirmed it cannot intervene to stop Sony from phasing out physical media, stating that companies are legally free to offer games and services in whatever manner they see fit EurogamerVGC. The announcement comes as PlayStation fans increasingly protest the platform's shift away from physical discs IGN.

However, Santa Monica Studio has offered physical collectors a reprieve by confirming that the upcoming God of War Laufey will receive a physical disc release VGCPush Square. The developer revealed that the game will launch before Sony's January 2028 deadline for physical disc production, effectively confirming a 2027 release window Push SquareIGN.

EA Sports Removes College Football 27 Microtransactions After Boycott Threats

College Football 27 to Remove Single Player Microtransactions After Fans Threatened Boycott College Football 27 to remove microtransactions after player backlash, though EA maintains they were only added to 'give players more choice' Push SquarePC Gamer

Following intense community backlash and a fan-led "CFBPlayNotPay" campaign, EA Sports has announced it will remove all paid progression options from its newly released College Football 27 Push SquareIGN. Players threatened a widespread boycott after discovering progression boosters and microtransactions inside the game's single-player Dynasty and Road to Glory modes Push Square.

While EA maintained that the microtransactions were originally included to give players more choice, the publisher acknowledged it "missed the mark" Push SquarePC Gamer. The company has committed to greater transparency and communication moving forward into next year's iteration PC Gamer.

Assassin's Creed Black Flag Resynced Sells Two Million Copies on Launch Day

Assassin's Creed Black Flag Resynced opens to 2 million sales on launch day Assassin's Creed Black Flag Resynced sells 2 million copies in 1 day and achieves the 'highest concurrent player count ever recorded for an Assassin's Creed title' on Steam EurogamerPC Gamer

Ubisoft has secured a massive win with the launch of Assassin's Creed Black Flag Resynced, which sold over two million copies on its first day Eurogamer. The remake also achieved the highest concurrent player count ever recorded for an Assassin's Creed title on Steam PC Gamer.

The successful launch arrives alongside Ubisoft's latest annual report, which warns of the financial risks of releasing games too late after market anticipation has waned Game File. Notably, the publisher also quietly removed a previous claim from its report stating that microtransactions make games "more fun" Game File.

Saber Interactive Inundated with Offers After Space Marine 2 Success

After Space Marine 2 'literally changed everything', Saber Interactive has been inundated with offers from major licenses: 'We are in a very fortunate position to turn down more than we can accept' Sonic Frontiers First 4 Figures Statue Sneak Peek, Pre-Orders Open SoonPC GamerNintendo Life

Saber Interactive is riding high on the massive success of Warhammer 40,000: Space Marine 2, with the studio revealing it has been flooded with licensing offers from major intellectual properties PC Gamer. Sega has also shadow-dropped Sonic Frontiers - Definitive Edition on the Nintendo Switch 2 as part of the franchise's 35th anniversary celebrations Nintendo LifeNintendo Life. Pocketpair has revised some of its most controversial creature designs for Palworld's 1.0 release to reduce their resemblance to Pokémon PC Gamer.