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State of Decay 3 Studio Undead Labs Lay Off "a Significant Number" of "Exceptionally Talented Developers" After Gaining Independence From Xbox

Less than 24 hours after confirming they've managed to secure a future outside of Xbox by going independent, State of Decay 3 studio Undead Labs have announced that they've had to lay off "a significant number" of staff as part of that transition. The news follows a second round of mass layoffs this year at the studios still under Microsoft's thumb. Undead Labs were one of the five studios Microsoft announced plans to split with during an initia…
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NewsGaming.net Barely becoming independent, Undead Labs (State of Decay 3) has to lay off a number of its employees When Xbox allows a studio like Undead Labs to become independent again, don't think that [...] The article Barely becoming independent, Undead Labs (State of Decay 3) has to lay off a number of its employees is available on NewsGaming.net

State of Decay 3 remains in development after the layoffs in Undead Labs; the launch in 2027 is confirmed and the roadmap does not change.A few weeks have passed since the latest updates on State of Decay 3 and the title, despite the significant layoffs announced by Undead Labs still in development.The team, which came out of the Xbox structure, has confirmed that the internal reorganization will not have consequences on the roadmap of the game,…

The development studio Undead Labs, which is currently working on State of Decay 3, is meeting a larger wave of dismissals. The studio itself spoke of a "significant" number of employees who have to leave the company. The redundancies seem to have taken place shortly after Microsoft's colported separation in order to work more independently on projects in the future. more

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Push Square broke the news on Tuesday, September 22, 2026.
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