Undead Labs Becomes Employee-Owned After Xbox Separation and Confirms State of Decay 3 Is Still In Development
- On Tuesday, Undead Labs officially completed its separation from Microsoft, becoming a fully independent, employee-owned game development studio after more than 15 years under Xbox ownership.
- This separation follows Xbox's ongoing "major reset," a restructuring that divested from several studios including Double Fine and Compulsion Games, which successfully separated last month.
- Undead Labs confirmed active development of its zombie survival game, currently in alpha with a closed beta planned before year-end and a full release in 2027 on Xbox, Game Pass, and PlayStation.
- The title will remain on Game Pass despite the separation, a decision fans on Reddit praised as a "double win" that lets developers maintain independence while subscribers retain access.
- In contrast, Xbox confirmed on Tuesday that two acquisition deals for Hellblade developer Ninja Theory fell through, leaving the studio in the process of closing down.
46 Articles
46 Articles
Undead Labs Goes Independent; 'State of Decay 3' Currently in Alpha, on Track for 2027 Release
Despite announcing Closed Beta registrations earlier this month, the murkiness around Undead Labs’ future after Xbox Game Studios’ massive restructuring earlier this summer was still lurking in the background. That thankfully is no longer the case. Not only that, but Undead Labs has confirmed that State of Decay 3 is still very much in development. In a new blog post, the developer has confirmed that they are going independent, while revealing t…
Undead Labs Becomes Employee-Owned After Xbox Separation and Confirms State of Decay 3 Is Still In Development
Undead Labs has confirmed that State of Decay 3 is still in development after the studio separated from Xbox, becoming an independent, employee-owned developer.
Under Labs completed Microsoft's separation and became an independent, worker-owned studio, but has already confirmed significant redundancies.
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