Microsoft closes Tango Gameworks, Arkane Austin, and more studios

Despite Hi-Fi Rush's critical acclaim, Tango Gameworks wasn't spared in Microsoft's massive cuts at Bethesda.

ONE Store Beta Now Available

After a huge round of layoffs at Activision earlier this year, Microsoft has announced that it is closing Tango Gameworks, Arkane Austin, and more studios at Bethesda.

As reported by IGN, Microsoft is closing a range of studios under Bethesda, including Tango Gameworks, the creators of Hi-Fi Rush, as well as Arkane Austin, the developers of Redfall.

Along with these two high-profile studio closures, other studios that are closing down include Alpha Dog Games. There’s also Roundhouse Studios which will be folded under ZeniMax Online Studios. As for the rest of Bethesda’s studios (including Bethesda Game Studios, Machine Games, and id Software), they won’t be affected by the cuts.

In IGN’s report, Microsoft and Bethesda did not comment further on the studio closures, though there’s no doubt that lots of staff will be laid off.


The closure of Arkane Austin also means that Redfall is effectively going to stop getting updates, though the game’s servers will remain online. As for Tango Gameworks, the studio’s closure seems to be the biggest surprise based on online reactions, especially given how well-received their game Hi-Fi Rush was.

This is the latest in a massive wave of layoffs in the gaming industry as big publishers like Microsoft, Sony, Riot, and more have laid off lots of staff earlier this year. With this new round of cuts at Bethesda, things aren’t looking good for jobs in the gaming industry right now.