Earlier this week, Xbox leadership made the decision to close multiple high-profile studios including Hi-Fi Rush developer Tango Gameworks and Arkane Austin, the studio behind Prey and Redfall. Though the unfortunate truth is that layoffs and studio closures are becoming increasingly common in the gaming industry, the internet was quick to point out that these two in particular felt a bit... confusing. Largely because they seem to go against many of Xbox's previous statements and goals.

Back in 2023, Xbox reportedly claimed that Hi-Fi Rush had been a success for the company and it planned on reinvesting in the team in the future. The studio also admitted they had neglected to give Arkane Austin proper support, and expressed a desire to work alongside the team to improve Redfall. So what happened?

All this confusion has resulted in discussions around what the platform holder's intent for the future of Xbox is, and speculation on what part Game Pass plays in it. On this episode of Spot On, Lucy and Tamoor discuss the closures, the aftermath of them—including some confusing statements from an exec—and what the future of Xbox may look like.