Arkane Lyon could avoid closure, with Bloomberg journalist Jason Schreier reporting that multiple options are being actively explored to save the French studio. His comments offer a more positive outlook for the developer behind Dishonored and Deathloop, after a report by Le Monde said Microsoft’s proposed closure could put 217 jobs at risk.
“Let me share some positive news for a change: Despite all the gloomy headlines today, my understanding is that there are multiple paths actively being explored that would save Arkane Lyon,” Schreier wrote on Bluesky. He added that negotiations could still take an unexpected turn, but said he would currently be surprised if the studio were shut down.
Schreier also highlighted the financial implications of closing a development studio in France. He explained that shutting down a game studio is expensive, with French labour laws requiring extended severance periods that can make the process particularly costly. According to Schreier, Xbox wants to avoid taking on those expenses.
The comments follow a report by French outlet Le Monde, which said Microsoft was considering closing Arkane Lyon as consultations over a proposed redundancy plan continued. The report also revealed that unions were seeking more time to negotiate and explore potential alternatives, including finding a buyer for the studio.
Microsoft has not confirmed a final decision on Arkane Lyon’s future. The company previously told Le Monde that it was exploring different options for the studio as part of the ongoing French consultation process and was actively seeking a partner to support its next phase of development.
Arkane Lyon is currently working on Marvel’s Blade, an action-adventure game announced in December 2023. A union representative cited by Le Monde said production was nearing completion and warned that closing the studio could jeopardise the project.
The consultation process is scheduled to conclude on November 13, while negotiations over the redundancy plan were due to continue until October 30, according to Le Monde. The possibility of a takeover remains among the options reportedly under consideration.
