Microsoft has given Arkane Lyon another month to find a buyer — with 217 jobs at risk
Microsoft has extended consultations about the future of Arkane Lyon, the French studio known for Dishonored and Deathloop, by a month. Initially, the process was expected to conclude by November 13, but the new tentative deadline is December 13. If a solution is not found, the studio faces closure and 217 employees risk losing their jobs.
The extension was reported by PC Gamer, citing a Microsoft spokesperson. According to them, the corporation is exploring various options, including finding a partner to help complete the development of Marvel’s Blade.
In July, Microsoft announced a major restructuring of Xbox and plans to divest several studios. At that time, consultations about the future of Arkane Lyon began. As discovered by the French publication Le Monde, on July 16, studio management informed employees of Microsoft’s intention to close the company.
However, French law requires large companies to seek buyers for businesses they intend to shut down. The relevant Florange Law has been in effect since 2014. As part of this procedure, Microsoft began considering options to sell Arkane Lyon or attract a partner.
The closure of the studio could result in additional expenses for Microsoft. In particular, French authorities may demand the return of state subsidies provided to the company over the previous two years. Furthermore, the company would need to agree on a plan for collective layoffs and the support measures outlined in it. If the procedure is violated or the layoffs are deemed illegal, Microsoft may face additional compensation payments.
The fate of Marvel’s Blade also remains uncertain. A representative of the Printemps Écologique union claims that the game's development is nearing completion and its cancellation would be a significant loss. However, according to PC Gamer sources, several more years might remain until production is complete.
Marvel’s Blade was announced in December 2023. The game's release date has not yet been disclosed.