Software

Xbox Shuts Down Ninja Theory, Hellblade Studio Faces Closure

June 15, 2026Source: The Verge
Xbox Shuts Down Ninja Theory, Hellblade Studio Faces Closure
Photo by Abolfazl eslami / Unsplash
Ulaş Doğru

Ulaş Doğru

Software & Startup Analyst

Xbox is reportedly closing down Ninja Theory, the acclaimed studio behind the Hellblade series. This move follows a broader 'reset' at Xbox, with other studios also in talks for potential spin-offs.

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It appears that Xbox is making some significant changes to its studio lineup, as a source has informed The Verge that Ninja Theory, the talented team behind the critically acclaimed Hellblade series, is set to be shut down. Employees were reportedly informed of the decision during a call on Monday. However, there's a glimmer of hope, as staff are apparently exploring options for the studio to find a new buyer.

This news comes at a turbulent time for Xbox. Bloomberg reports that several other Xbox studios under Microsoft, including Compulsion Games and Double Fine, are currently in active negotiations regarding potential spin-offs. This suggests a larger restructuring effort within the company's gaming division.

These developments follow recent statements from Xbox CEO Asha Sharma and chief content officer Matt Booty. Last week, they warned of a 'reset' at Xbox, acknowledging that the company had perhaps 'overextended' its studio system and faced hardware challenges. The exact reasons for Ninja Theory's closure remain officially unconfirmed, but the timing certainly aligns with this broader strategic review.

For fans of Ninja Theory's unique brand of atmospheric and narrative-driven games, this news is undoubtedly disappointing. The Hellblade series, in particular, garnered widespread praise for its innovative approach to storytelling and its sensitive portrayal of mental health. It remains to be seen what the future holds for the studio's talented developers and its beloved franchises.

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