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Ninja Theory Set to Leave Xbox Amid Huge Reset and Massive Layoffs

Shouvik Bose by Shouvik Bose
July 7, 2026
in News
0
Senua

Reportedly, Ninja Theory will be leaving the Xbox brand as part of the current restructuring process that saw a total of 1600 layoffs taking place yesterday and 3,200 employees being let go by the end of the current fiscal year. It was only weeks after Senua, the title that’s currently being developed by the studio, was revealed to the world for the first time and it was later reported that the game was showcased only to attract a potential buyer for Ninja Theory which means it was already decided that the studio would be facing closure or set to leave the Xbox umbrella.

According to a new report by Windows Central, ‘Ninja Theory will be acquired by new publishers’ which will help the studio to continue development for Senua.

“As part of the cuts, Microsoft has reached deals with four studios to either go independent or join new management, saving them from closure.”

The report continues: “Undead Labs and Ninja Theory will be acquired by new publishers. Sources told us over the weekend that both Ninja Theory’s Senua and Labs’ State of Decay 3 will remain fully in production as part of the divestiture deals.”

So it’s confirmed that Ninja Theory will remain on full developmental capacity and will continue to develop Senua, but will no longer be under the Xbox or Microsoft umbrella. It’s unclear how much will it impact the ongoing development process for their new title although it may affect the overall budget available along with other forms of support. However, it’s definitely a praiseworthy decision by Microsoft that has enabled the studio to continue with their upcoming game under a new buyer or publisher which is pretty much fair, given the overall dire situation that’s going on in the industry.

Ninja Theory has had multiple acclaimed titles over the years, chief among them is Hellblade 2 which earned several nominations at the 2025 BAFTA Games Awards event.

Tags: Ninja TheoryXbox
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Shouvik Bose

Shouvik Bose

Shouvik Bose became fascinated with Videogames at an early age, he loves playing and writing about what he plays. He enjoys the whole craft of writing as much as playing, and feels that both are forms of Art by themselves. Primarily a PC gamer, he loves games that excel at gameplay and replayability.

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