#Bethesda

Activision And Bethesda Crackdown On GenAI MW2 And Fallout Projects

AI-generated Fallout: New York taken offline after creator says Bethesda issued cease and desist

The creator behind the AI-generated Fallout: New York has pulled the game offline, saying they received a cease and desist from Bethesda parent ZeniMax Media citing trademark infringement over the fallout.nyc domain and use of copyrighted material. Built with Claude Opus 5.5 and playable in a browser, the game included quests, companions, dialogue trees, V.A.T.S. and a working Pip-Boy, and its demo video drew 3.5 million views on X. IGN has asked Microsoft for comment, as a wave of AI-generated game-merging mods this week fuels debate over the legality of such clones.

Xbox restructuring sparks confusion and frustration as communities react to Ninja Theory closure

Xbox carried out a second wave of layoffs this week and shifted studio management away from Xbox directly to Bethesda or Activision, with Obsidian moving to Bethesda and Rare, World's Edge and Halo moving to Activision. Ninja Theory faces closure, Halo Studios was nearly dismantled by layoffs and World's Edge was halved. Communities around Hellblade, Outer Worlds, Forza, Age of Empires and Sea of Thieves reacted with sadness and concern, while Ninja Theory, Obsidian and Rare have not commented publicly.

Quake Champions drops free-to-play and removes its Microsoft Store version eight years after launch

id Software's free-to-play shooter Quake Champions is becoming a paid product eight years after its original release, priced at £8.99/$9.99 with content from 30 seasons and all Champions unlocked. The Microsoft Store version is being removed, leaving it only on Steam, and id Software confirmed no additional content updates are planned. Patch 1.31 removes battle passes, the in-game store, paid currencies, loot boxes, login rewards and all microtransactions, with refunds for recent Platinum purchases and a free Steam copy for previous players who link accounts by 7th October.

Bethesda says Obsidian will keep its distinct creative identity despite no longer operating independently

Jill Braff, president of Bethesda and Microsoft's casual games division, said in a staff memo that Obsidian will no longer operate independently of fellow Xbox-owned studio Bethesda but will retain its distinct creative identity and strengths. She described the change as primarily a shift in reporting structure, with Obsidian CEO Feargus Urquhart and his leadership team continuing to run the studio and reporting to her. Bethesda Game Studios will continue to lead the Fallout franchise, and the teams will build on early work already underway on a new Fallout project.

Bethesda boss confirms Obsidian will remain a distinct team

Bethesda boss Jill Braff told staff that Grounded developer Obsidian Entertainment will remain a distinct team and keep its existing leadership structure. The note follows Xbox's September 22 reorganisation, which moved Obsidian under Bethesda, transferred Rare and ownership of the Halo franchise to Activision, proposed closing Ninja Theory, and confirmed 268 further job cuts. Braff described the move as primarily a change in reporting structure, with Feargus Urquhart and his leadership team continuing to lead Obsidian and reporting to her, while Bethesda Game Studios continues to lead the Fallout franchise.

Report: Bethesda president tells Obsidian staff it won't lose 'creative identity' after merge

Bethesda president Jill Braff reportedly told Obsidian Entertainment staff in an email that the studio's merger into Bethesda is "primarily a change in reporting structure," according to Aftermath. The email says CEO Feargus Urquhart and Obsidian leadership will keep running the studio and report to her, while Bethesda Game Studios continues to lead the Fallout franchise and both teams work on a new Fallout project. The merger follows this week's Xbox announcement, which also included divestments and another couple hundred layoffs; Obsidian laid off at least 52 workers in July.

Bethesda takes control of Obsidian Entertainment, promises studio's creative identity stays intact

As part of Xbox's ongoing restructuring, Obsidian Entertainment has been moved under Bethesda's umbrella. Bethesda president Jill Braff told staff that Obsidian's creative identity and strengths will remain at the core of the studio, with CEO Feargus Urquhart continuing to lead it and reporting to her. Braff said Bethesda Game Studios will keep leading the Fallout franchise, and the two teams will build on early work already underway on a new Fallout project.

Xbox Lays Off 268 More People, Hands Halo Series to Activision

Xbox announced it is cutting 268 roles across its first-party studios, XGS management, and central functions, with Halo Studios significantly affected. In an Xbox Wire post titled Continuing Our Reset, Xbox content chief Matt Booty said Activision will expand its remit to World's Edge and Rare and form a new internal team to develop the next Halo title, while a small team at Halo Studios continues supporting the community and in-market games. The post also details studio reshuffles including Bethesda absorbing Obsidian, King taking on Microsoft Casual Games, and Playground and Turn 10 merging, plus divestitures in which Compulsion and Double Fine spun off, Undead Labs signed with a new publisher, and Ninja Theory and Arkane face proposed closures.

Microsoft confirms 268 more Xbox layoffs, studio restructuring, and Obsidian moving under Bethesda

Microsoft confirmed a new Xbox restructuring round with 268 more layoffs affecting Halo Studios, other unnamed first-party studios, and Xbox Game Studios' management and central functions. Rare and World's Edge now fall under Activision, Playground and Turn 10 will combine on Forza and Fable, and Bethesda will oversee Obsidian, which continues work on Grounded and a new Fallout project with Bethesda Game Studios. The next Halo game will be developed by a new Activision team, while Ninja Theory faces proposed closure and Arkane consultation is expected to continue through the end of the year.

Xbox reportedly set to announce second round of layoffs this week

Xbox is reportedly preparing a second round of layoffs this week, with a source saying the company will consolidate several of its game studios, according to The Information. VGC reports this could involve mergers or internal changes at Xbox Game Studios, Bethesda, Activision and Blizzard. Xbox had announced plans to cut 3,200 employees in July, with the first round resulting in 1,600 redundancies and the divestment of five internal studios.