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Potential closure of Arkane Lyon studio

Updated 1 time since CLSTR started tracking revisions of this situation.

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2026-10-26 02:02 UTC → 2026-10-26 10:51 UTC · added ~~removed~~

The French video game studio Arkane Lyon, developer of titles such as Dishonored and Deathloop, faces potential closure, putting approximately 217 jobs at risk. Under France’s Florange Law, Microsoft is required to undergo a mandatory consultation period to seek a purchaser or partner before executing mass layoffs or site closures. While internal documents have outlined a potential cessation of activities starting in late 2026, Microsoft has stated it is actively seeking a partner to support the next phase of development and the commercialization of the studio’s current project, Marvel’s Blade. Labor unions have expressed concern regarding the progress of negotiations, with representatives calling a potential cancellation of the project a “monumental waste” of effort. Following the initial deadline of November 13, Microsoft has extended the consultation period by one month. The new deadline of December 13 aims to provide additional time to explore alternatives and search for a potential buyer or partner to ensure the completion of current projects. Some industry analysts suggest that the high costs associated with French redundancy laws and the existence of multiple potential acquisition models may increase the likelihood of a rescue deal.

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