Xbox Cancels Obsidian’s Avowed Sequel Amid Layoffs

Xbox cancels Obsidian Entertainment's Avowed sequel and lays off 52 workers as part of a company reset, focusing on Fallout instead.

Xbox continues its restructuring efforts by targeting RPG developer Obsidian Entertainment, cutting about a quarter of its workforce and axing the sequel to the 2025 action-RPG Avowed. The decision to cancel the Avowed sequel and other projects was made to shift the developer's focus towards the Fallout franchise, according to a Bloomberg report on July 8. Despite progress on the Avowed sequel and hopes to expedite its development, it did not align with Xbox CEO Asha Sharma's strategic vision for the company.

While there is a slight possibility of the project being revived in the future, current reports suggest that the cancellation is final. Fans of Avowed are disappointed by this news, especially considering the positive reception the original game received upon its release in 2025. The cancellation comes as a blow to those who enjoyed the game's unique blend of gameplay mechanics, narrative depth, and magical elements.

The decision to cancel the sequel has left many wondering about the future of the Avowed universe and its potential for further exploration. Despite the setback, former director Carrie Patel expressed interest in continuing the franchise, although Microsoft's current stance indicates otherwise.