Skip to main content
See every side of every news story
Published • loading... • Updated

South Of Midnight Director Says He Doesn't Think Xbox Should Have Funded It

Sears says Xbox backed the game for prestige and cultural impact, even though he and Microsoft expected it to lose money.

  • Now independent from Microsoft, Compulsion Games is seeking new collaborative partners as creative director David Sears recently questioned the financial viability of South of Midnight.
  • Xbox funded South of Midnight and Double Fine's Keeper as prestige projects, intending them as cultural cornerstones despite knowing they would likely not generate significant profit.
  • Sears warned development teams that "the money tap" would close, predicting "traumatic results" downstream, and described the project's financial outcome as "shocking" in hindsight.
  • Microsoft is "more humane" than companies from earlier decades, Sears concluded, as the corporation allowed Compulsion Games to spin off rather than shutting the studio down.
  • Future projects for Compulsion Games will likely be "very, very different" from South of Midnight or 2018's Happy Few, as the studio seeks new collaborative partners.
Insights by Ground AI

17 Articles

He said that he had questioned the long-term sustainability of the Xbox financing model from the beginning. In his view, the large corporation was sooner or later starting to reduce the least profitable business. Sirs, who had left the Collection Games in March 2025, noted in an interview with MinnMax that Microsoft had financed many studios and games.

Think freely.Subscribe and get full access to Ground NewsSubscriptions start at $9.99/yearSubscribe

Bias Distribution

  • 50% of the sources lean Left, 50% of the sources are Center
50% Center

Factuality Info Icon

To view factuality data please Upgrade to Premium

Ownership

Info Icon

To view ownership data please Upgrade to Vantage

Kotaku broke the news in New York, United States on Monday, November 2, 2026.
Too Big Arrow Icon
Sources are mostly out of (0)

Similar News Topics

News
Feed Dots Icon
For You
Search Icon
Search
Blindspot LogoBlindspotLocal