The Outer Worlds And Grounded Studio Obsidian Losing Around 25 Percent Of Its Staff To Xbox Layoffs ^35.2%

Kotaku - By Rebekah Valentine - 7/6/2026, 10:29 PM

Halo Effect 27.6% - Anecdotal 26.1% - Biased Writer Voice 25.7%

Among the massive cuts made today across Xbox, Kotaku understands that roughly one-quarter of Obsidian Entertainment, the first-party studio behind Avowed, The Outer Worlds, and Pentiment, is being let go. Speaking to sources with knowledge of the matter, Kotaku understands that somewhere around 60-70 people were cut. The layoffs... more