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Xbox confirmed exclusivity decisions will be made on a "case by case basis." Gears of War: E-Day and Clockwork Revolution will remain Xbox and PC exclusive; Hellblade 2 and State of Decay 3 will launch on PS5 in 2027, as will Fable on February 27. CCO Matt Booty said Xbox wants to offer exclusives to drive console adoption while rewarding longtime players, and live-service games will remain fully multiplatform. (GamesIndustry.biz)

VR developer Vertigo Games has shut down its Amsterdam studio, with CEO Richard Stitselaar citing ongoing challenges in the VR industry. The studio, originally established as Force Field Entertainment in 2015 and acquired by Vertigo Games in 2021, was owned by Plaion (formerly Koch Media), a Embracer Group subsidiary, since 2020. Recent titles include Metro Awakening, The 7th Guest Remake, and Thief VR: Legacy of Shadow. The closure follows broader VR-sector turbulence: Rec Room shut down in June 2026, Polyarc Games laid off 30 employees, and Meta cut 10% of Reality Labs staff. (GamesIndustry.biz)

IO Interactive will no longer self-publish future James Bond games; MGM and Amazon Game Studios will handle publishing going forward. The shift follows Amazon's 2022 acquisition of MGM, which owns the Bond IP. IO Interactive developed and self-published 007: First Light, which launched May 27 and sold over 1.5 million copies in 24 hours. Amazon Game Studios general manager Jeff Gattis said the company's stake in future Bond titles stems from the MGM acquisition, which occurred after the First Light deal was already finalized. Gattis noted Bond supports Amazon's transmedia strategy across games, film, and television. (GamesIndustry.biz)

Norwegian company Aiba has developed Amanda, an AI tool that monitors voice chat to detect grooming, bullying, radicalisation, and social manipulation in near real-time, enabling moderators to intervene. The system is available through the Odin voice chat platform from German firm 4Players. CEO Hege Tokerud named the tool after Amanda Todd, a Canadian girl groomed online 15 years ago who died by suicide; Todd's mother supports the project. The tool emerges as regulators worldwide—including the EU's Digital Services Act, the UK's Online Safety Act, and PEGI—tighten online-safety rules for gaming platforms. (GamesIndustry.biz)

UK online safety minister Kanishka Narayan told The Sunday Times he will consider extending a potential social media ban for children to video game platforms if the government proceeds with restrictions. Prime Minister Keir Starmer has committed to introducing a policy that could mirror Australia's under-16s social media ban or take a looser approach limiting features like autoplay and location sharing. Platforms including Roblox and Fortnite allow anonymous chat between users; Roblox recently introduced age-based accounts restricting access to some experiences and communications features in response to scrutiny over child safety. (Game Developer)

Atari agreed to acquire Australian mobile studio Hipster Whale for an initial $29.3 million ($26 million cash, $3.3 million in shares), with an earn-out of up to $10 million over three years based on performance. Hipster Whale, founded in 2014 by Matt Hall and Andy Sum, created the Crossy Road franchise, which has 340+ million downloads worldwide. Matt Hall will lead Atari's expanded mobile development efforts post-acquisition. Hipster Whale generated $8.28 million in revenue over the trailing 12 months ended January 31, 2026. (Game Developer)

At BitSummit 2026 in Kyoto, major Japanese entertainment conglomerates—including TOEI, Shueisha, Aniplex, and PARCO—are backing indie game studios and original IP rather than licensing established franchises. TOEI launched a new gaming subsidiary focused on indie funding; Shueisha established its games arm in 2022, Aniplex doubled down on original titles, and PARCO leveraged retail presence to promote indie projects. The shift marks a significant change in Japanese gaming strategy over the past five years. (GamesIndustry.biz)

GDC released its 2026 Trends report highlighting five key industry shifts: generative AI adoption for planning and routine tasks, growth in co-development partnerships, dual monetization in mobile gaming combining ads and in-app purchases, challenges securing funding and publishing deals, and evolving accessibility policies. Developers support AI as a planning tool but emphasize it should support rather than replace development. Co-dev is preferred over outsourcing for creative control, though competition for partnerships has intensified. (GamesIndustry.biz)

Remedy's new CEO Jean-Charles Gaudechon said the studio will prioritize its own IP and maximize core franchises after learning from FBC: Firebreak's underperformance. The co-op title launched June 2024 with weak sales, prompting a €14.9 million impairment and revised FY25 outlook. Gaudechon cited entering a new genre as a larger leap than anticipated and noted learnings around self-publishing, positioning, and community management. Remedy plans to expand established IPs like Control Resonant at larger scale. (GamesIndustry.biz)

HoYoverse will invest up to $14.6 billion in AI over three years to develop in-house tools, announced during a May 15 recruitment session by co-founder Liu Wei. The publisher plans to build an internal AI ecosystem including GPU clusters and training systems rather than relying solely on external models. AI will enhance NPC systems, content generation, and live-service environments, with the upcoming life simulation title Petit Planet featuring AI-powered NPCs. (GamesIndustry.biz)

Microsoft completed its $69 billion acquisition of Activision Blizzard after four years of regulatory battles. The deal, initially announced in January 2022, faced extended scrutiny from the UK Competition and Markets Authority and the FTC before finally closing. The purchase makes Microsoft the world's third-largest gaming company by revenue. (PC Gamer)

Bungie is planning significant staff cuts following the end of Destiny 2 development, according to Bloomberg reporting. Sony-owned Bungie has no immediate plans for Destiny 3, and internal pitches for other projects have not been greenlit, leaving the studio without a clear next project. (GamesIndustry.biz)

Embracer chairman Lars Wingefors defended cost control as undervalued after the company's repeated layoffs and studio closures. He stated the company will continue divesting non-core studios through 2026 to reduce debt from the canceled Saudi PIF investment, emphasizing operational efficiency as central to Embracer's turnaround strategy. (Game Developer)

Embracer Group announced plans to spin off major video game franchises and studios as part of a broader restructuring strategy. The company will separate key properties into independent entities to streamline operations and improve financial performance following previous layoffs and studio closures across its portfolio. (Game Developer)

Epic relaunched Fortnite on Apple's App Store worldwide except Australia, citing expectations that US federal courts will require Apple to disclose its fee structure. The relaunch follows Apple's statement to the Supreme Court that regulators globally are monitoring the case to determine Apple's commission rates. Fortnite remains blocked in Australia due to what Epic calls an "illegal payment arrangement," pending court resolution or Apple's agreement to lawful payment terms. (GamesIndustry.biz)

Saber Interactive opened its proprietary Hydra live-ops platform to all developers this year. The tool, built over years supporting titles like Space Marine 2, World War Z, and SnowRunner, provides cross-platform play, matchmaking, and dedicated service management. Developers can integrate the Hydra SDK into Unreal Engine 5, Unity, and Saber's Swarm engine projects with modular, customizable services. (GamesIndustry.biz)

Mobile game publishers increasingly operate web stores outside Apple and Google's app stores to avoid 15–30% platform fees, making traditional revenue measurement unreliable. According to Appcharge analysis, 72% of top-grossing mobile games now run web stores; D2C revenue grew 26% year-on-year in the Americas in 2025. Public companies like Stillfront (39% D2C revenue) and Playtika (25%, targeting 40%) now derive significant income from direct-to-consumer channels invisible to standard industry tracking tools. (GamesIndustry.biz)

Silver Lining Interactive, formed after founder Luke Keighran acquired assets from defunct publisher Merge Games, launched with 18 staff and a 2025 slate where every title achieved 85%+ Steam ratings. The firm's debut title Outbound reached 1.5 million Steam wishlists. Keighran argues the traditional publishing model is dead, replaced by "pick and mix" services where developers retain IP and choose which support they need. (GamesIndustry.biz)

UK politicians criticized Rockstar for refusing to engage with appeal processes after firing 34 workers in October. The IWGB Game Worker's Union alleges union busting; Rockstar claims gross misconduct and confidentiality breaches. An employment tribunal rejected interim relief, but the union-busting allegation remains under investigation. (IGN)

Shift Up, developer of Stellar Blade, plans to self-publish the sequel after breaking from Sony. The studio cited steady sales and desire to control marketing strategy and IP identity as drivers for the shift to independent publishing. (GamesIndustry.biz)