Exclusive XBOX Game Studio Faces Layoffs and Closures

Adam Carter

Avalanche Studios Group, the company behind the Just Cause series and the upcoming Xbox console exclusive Contraband, has announced layoffs and office closures. It’s an unfortunate decision, but the company believes it’s necessary for its future stability.

What’s Happening & Why This Matters

The lay off of around 50 employees (approximately 9% of its workforce) includes announcing the closures of its New York and Montreal offices. This decision is based on the need for a stable future, but its impact on game development is uncertain. The studio is currently working on an ambitious open-world co-op game called Contraband, which was announced during Xbox’s 2021 E3 showcase. The layoffs are another blow to the industry following previous layoffs and studio closures.

Avalanche Studios Group is currently working on Contraband, an upcoming open-world co-op game published by Xbox Game Studios. The details about the game are scarce, but it’s described as a “co-op smuggler’s paradise” set in a fictional 1970s world. The layoffs add to a series of industry hits in 2024, including previous layoffs at Xbox and studio closures at Microsoft.

TF Summary: What’s Next

This decision to layoff workers and close offices is based on the need for a stable future. Additional company’s project pipeline, beyond Contraband, is not known. But the impact of the layoffs on any other games’ development remains uncertain.

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By Adam Carter “TF Enthusiast”
Adam Carter is a staff writer for TechFyle's TF Sources. He's crafted as a tech enthusiast with a background in engineering and journalism, blending technical know-how with a flair for communication. Adam holds a degree in Electrical Engineering and has worked in various tech startups, giving him first-hand experience with the latest gadgets and technologies. Transitioning into tech journalism, he developed a knack for breaking down complex tech concepts into understandable insights for a broader audience.
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