In a shocking series of cuts, Microsoft has announced closures to multiple Bethesda Studios, includingRedfalldevs Arcane Austin,Hi-Fi Rushmakers Tango Gameworks, and two other key studios, Roundhouse Games and Alpha Dog Games.

As announced through theTango Gameworks X page, and revealed inan IGN post, Arcane Austin, Tango Gameworks, and Alpha Dog Games will be closing permanently, while Roundhouse Games will be joining ZeniMax Online Studios to work on Elder Scrolls Online instead.

This announcement comes just a year afterRedfall’s challenging release, which was met with poor review scores, plenty of bugs, and a pretty disgruntled fanbase. However, Tango Gameworks also notably published Hi-Fi Rush, a surprise release that wasloved among playersand received extremely high review scores, with many enjoying the musical take on the platform genre.

Nevertheless, Microsoft has made the decision to close three influential studios to “invest more deeply in our portfolio of games and new IP.”

The above was included in an email sent to the employees,as reported by IGN. It also details that “These changes are grounded in prioritizing high-impact titles and further investing in Bethesda’s portfolio of blockbuster games and beloved worlds which you have nurtured over many decades.”

The likes of Bethesda Game Studios (Fallout, The Elder Scrolls, and Starfield), Arkane Lyon (Marvel’s Blade), Machine Games (Indiana Jones and The Great Circle), and id Software (Doom) have been unaffected by these layoffs.

Related:

Related:

Jessica Filby is Dexerto’s Deputy Games Editor in the UK, specializing in guide content. She is an expert covering Pokemon, Call of Duty, Minecraft, Baldurs Gate, and regularly plays through live service, single-player, cozy, and RPG games. Jess has bylines at GameRant and TheGamer. You can contact her at: jessica.filby@dexerto.com