Rumors debunked suggest that Ninja Theory remains active

The confusion surrounding the studios' fate gained traction behind the scenes, but journalist Jason Schreier from Bloomberg took it upon himself to provide concrete details explaining the true internal situation at the tech giant. He clarified that cuts to the Xbox gaming division will only effectively begin in early July 2026, meaning technically no game developer has closed its doors yet. This temporal distinction may seem like mere semantic nitpicking to some, but it's crucial to understand the impending dismantling process. The reporter confirmed the status of the creators behind Senua's Saga.

"Ninja Theory of Hellblade is still operational, since only in early July will Xbox begin laying off employees and deciding which studios to keep alive."

The most dramatic scenario currently affects the developers at Compulsion Games. Although they haven't been officially let go yet, members of this team have already been given advance notice that the axe is inevitable. The management has given the green light for them to start circulating their resumes in the market right away, knowing that their employment ties will be severed in the coming weeks. Seeing talented professionals being forewarned that they'll lose their livelihood with mere days in advance is a tremendous corporate cruelty, laying bare Microsoft's lack of empathy for its creative forces.

The looming cuts cast a heavy shadow over the future of several beloved franchises. Workers find themselves in an agonizing professional limbo, waiting for the calendar to flip to know who remains on board. This policy of keeping teams under constant threat of extinction demoralizes any developer, and the promise of a brand restructuring increasingly appears to be just an excuse to steamroll over the independent studios they purchased years ago. The current anticipation revolves around which labels will survive the purge scheduled by the management for next month.