As beloved Dishonored studio faces closure, Xbox agrees union request to extend negotiations deadline in hope of saving 217 jobs
eurogamer.net Oct 26, 2026

As beloved Dishonored studio faces closure, Xbox agrees union request to extend negotiations deadline in hope of saving 217 jobs

AI-summarised brief · reviewed before publication

Xbox has granted Arkane Lyon, the French studio behind Dishonored and Deathloop, an additional month of consultation as it continues to seek a buyer, pushing the deadline from 13 November to early December. The extension follows union pressure and complies with France’s Florange Law, which mandates a three‑month period to find a purchaser before a shutdown can proceed. If no deal materialises, the studio faces closure and the loss of 217 jobs. Microsoft’s spokesperson emphasized that the move is part of an ongoing effort to explore partnership options for the studio’s remaining projects, notably the near‑complete Marvel Blade title. Arkane’s fate is tied to Xbox CEO Asha Sharma’s broader “reset” plan that will ultimately cut 3,200 positions across Microsoft’s first‑party network.

💡 Why It Matters

  • · The delay keeps a critically acclaimed development team alive long enough to potentially release Marvel Blade, preserving a high‑profile IP and averting a rare loss of creative talent in Europe’s gaming hub.