Which Xbox studios are becoming independent or changing ownership?

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Microsoft is restructuring its Xbox division, leading to the independence or change of ownership for four studios.

Microsoft is undergoing a significant restructuring of its Xbox gaming division, which involves approximately 3,200 job cuts over the coming fiscal year. As part of this overhaul, four studios will either become independent or change ownership. This move is occurring as Microsoft aims to address the financial performance of its Xbox business, which has been described as "not healthy" with profit margins significantly lower than competitors.
Compulsion Games and Double Fine Productions Will Become Independent

Compulsion Games, the studio behind South of Midnight, and Double Fine Productions, creators of Psychonauts, are set to become independent entities. These studios will retain their intellectual property and existing game catalogs as they transition away from direct Microsoft ownership. This independence allows them to chart their own creative and business paths.
Ninja Theory and Undead Labs Are Entering New Ownership Arrangements

Ninja Theory, known for the Hellblade series, and Undead Labs, the developer of State of Decay, have entered into agreements to join new owners. These arrangements are designed to provide them with the necessary funding to continue their ongoing projects. The specific terms of these new ownership structures are being finalized.
Restructuring Aims to Improve Xbox's Financial Health

The changes affecting these studios are part of a broader strategy to revitalize the Xbox division, which has faced financial challenges. CEO Asha Sharma indicated that the division's reliance on the Game Pass subscription service, which saw subscriber losses after a price increase, necessitated a course correction. The goal is to return the division to growth by 2027.

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Which Xbox studios are becoming independent or changing ownership?

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