Obsidian Entertainment defends its core DNA amid Xbox layoffs and a new core Fallout project

Obsidian Entertainment director Brandon Adler posted on LinkedIn that, despite a difficult week marked by staff reductions tied to recent Xbox layoffs, the studio’s creative core remains unchanged. He emphasized that the same developers who worked on titles such as *The Outer Worlds*, *Pillars of Eternity* and *Fallout: New Vegas* are still driving the company forward.

Leaked information from an Xbox insider indicates that Obsidian is now focused on a new, first‑person core Fallout game, with former *Fallout: New Vegas* director Josh Sawyer slated to lead the project. The game will move away from the series’ earlier isometric style toward a modern RPG experience. The shift follows a major restructuring under Xbox CEO Asha Sharma, which saw Microsoft cut roughly 3,200 jobs across its studios and cancel the anticipated work on *Avowed* 2, reallocating resources to the Fallout title.