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Reading: State of Decay 3 Studio Undead Labs Faces Layoffs – Rumor

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Epic Game Journey > News > State of Decay 3 Studio Undead Labs Faces Layoffs – Rumor
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State of Decay 3 Studio Undead Labs Faces Layoffs – Rumor

July 2, 2025 2 Min Read
2 Min Read
state of decay 3

It’s a tough day for Microsoft staff, with reported layoffs throughout the board. The Gaming Division isn’t any exception, and whereas the total extent of exits is unknown, Uncommon’s Everwild and The Initiative’s Excellent Darkish have allegedly been cancelled. Naturally, you could assume that different tasks with few updates through the years can be in bother, together with Undead Labs’ State of Decay 3.

In response to Kotaku’s Ethan Gach, the studio has additionally confronted layoffs, although it’s “not but clear how widespread.” He additionally talked about that conferences amongst employees had been “displaying up on individuals’s calendars on a rolling foundation,” so the scenario continues to be very a lot growing.

How will this have an effect on the event of State of Decay 3, which was introduced in 2020? In 2022, a Kotaku report revealed points with sexism and toxicity on the studio, which led to a number of departures, thus impacting growth. A brand new in-engine trailer would debut on the Xbox Video games Showcase 2024, and Undead Labs introduced the tip of content material updates for State of Decay 2 to concentrate on the sequel.

Rumors indicated that it may launch in 2026 and doubtlessly seem at this 12 months’s Xbox showcase (which didn’t occur). An unannounced venture can also be reportedly within the works on the studio, so the layoffs could possibly be associated to the identical. As all the time, keep tuned for additional updates.


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TAGGED: Gaming News, Microsoft, News, PC, PC gaming, State of Decay 3, Undead Labs, Xbox Series S, Xbox Series X
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