Xbox leadership is shifting focus toward major franchises like Fallout after acknowledging that past investments fell short. Asha Sharma wrote in a public memo that the company has not adequately funded these properties to compete effectively.
Speculation points to the studio behind The Outer Worlds taking charge of the next installment in Bethesda's iconic franchise.
Obsidian Entertainment, which developed The Outer Worlds and Fallout: New Vegas, appears positioned to take on the next entry in Bethesda's franchise. Bethesda Game Studios is currently occupied with The Elder Scrolls VI, leaving a gap for another studio to handle Fallout development.
Speculation suggests that Xbox may task Obsidian's existing team with pivoting toward a new Fallout title. Such an approach enables the company to utilize the studio's existing expertise rather than establishing a fresh production framework.
Some reports indicate that Microsoft might permit the use of Unreal Engine instead of the Creation Engine for this project. Switching engines could prioritize visual polish and performance over the mod support typically associated with Bethesda's proprietary tools.
The public memo confirms that Xbox leadership views Fallout as a priority franchise requiring renewed investment. Analysts suggest that tasking the studio with this work matches current resource availability and builds upon their previous achievements with similar franchises.
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