In a significant shift for Xbox's gaming division, Microsoft has reportedly canceled Rare's long-awaited title, Everwild, amidst sweeping layoffs affecting more than 9,000 employees across the company. In a memo, Xbox boss Phil Spencer addressed the organizational changes aimed at focusing on strategic growth areas. This decision comes as Microsoft has already faced multiple rounds of layoffs in recent years, resulting in the closure of several development studios and significant workforce reductions. Spencer emphasized the need to prioritize enduring success while acknowledging the efforts of those impacted by these layoffs.

What does the cancellation of Everwild mean for Rare and Xbox?

The cancellation of Everwild represents a considerable loss for Rare, a studio well-known for crafting immersive and innovative experiences. For Xbox, it signals a shift in strategy to concentrate on its strongest titles and maximize resources following recent acquisitions and staffing challenges. This move may allow Xbox to focus on delivering more polished games in the future but also raises concerns about the fate of other projects in development.

Everwild was first unveiled with a teaser trailer in 2019, generating excitement within the gaming community for its unique art style and mysterious world. The game aimed to deliver an enchanting narrative and exploration experience, much like previous titles from Rare, including the beloved Sea of Thieves. However, ongoing uncertainty about its development, paired with this recent cancellation, ultimately highlights the impact of Microsoft's broader restructuring efforts in the gaming landscape.