Obsidian Entertainment has been hit hard by Microsoft’s latest round of Xbox layoffs, with reports suggesting around 60 to 70 employees have been let go. The studio, known for titles like Fallout: New Vegas and The Outer Worlds, is now facing significant uncertainty regarding its current development roadmap.

The cuts are part of a massive, company-wide restructuring that saw 1,600 immediate layoffs, with another 1,600 expected this year. Despite concerns, leadership has stated that no publicly announced projects are currently being canceled as the division pivots to focus on its strongest core franchises.