--- title: Compulsion Games is seeking partners after Xbox spin off description: Compulsion Games, the studio behind South of Midnight, has published an open letter seeking collaboration partners after being spun off from Xbox last week.... canonical: https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32 twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Compulsion Games is seeking partners after Xbox spin off | daily.dev og:description: Compulsion Games, the studio behind South of Midnight, has published an open letter seeking collaboration partners after being spun off from Xbox last week.... og:url: https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32 og:image: https://api.daily.dev/og/posts/7NtgUys32.png og:image:alt: Compulsion Games is seeking partners after Xbox spin off og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Compulsion Games is seeking partners after Xbox spin off **[Game Developer](https://daily.dev/sources/gamedeveloper)** · 3 min read · 1 upvotes · 0 comments ## Summary Compulsion Games, the studio behind South of Midnight, has published an open letter seeking collaboration partners after being spun off from Xbox last week. The studio highlights its award-winning track record — including a BAFTA and Peabody Award — and is inviting studios across the games and entertainment industry to leverage its talent. The spinoff is part of Xbox's largest-ever restructuring, which included 3,200 layoffs and the separation of four studios: Compulsion, Double Fine, Ninja Theory, and Undead Labs. This marks Microsoft's fifth major round of layoffs since acquiring Activision Blizzard in 2023. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### Why did Compulsion Games split from Xbox Game Studios? Compulsion Games was one of four studios jettisoned from Xbox Game Studios as part of what Microsoft called its most significant restructure in Xbox history. The studio returned to independence with full ownership of its IP catalog, including South of Midnight. Double Fine received the same treatment, while Ninja Theory and Undead Labs joined new ownership and Arkane Lyon entered a strategic review process. _Follow how studio spinoffs and restructuring reshape game development on daily.dev._ ### How many people did Microsoft lay off from Xbox in its latest round of cuts? Microsoft laid off 1,600 workers on July 6, with another 1,600 job cuts expected by the end of the current fiscal year, totaling 3,200. This marked the fifth major round of layoffs since Microsoft acquired Activision Blizzard in 2023 for almost $70 billion, and included 379 ZeniMax workers in Maryland and at least 52 at Obsidian. _daily.dev readers tracking industry layoffs can follow ongoing coverage of Xbox's restructuring._ ## Similar posts on daily.dev - [Report: Xbox to shut down Compulsion Games](https://daily.dev/posts/report-xbox-to-shut-down-compulsion-games-3c4r9vsi4) · Game Developer · 0 upvotes · 0 comments - [Compulsion Games officially separates from Xbox – "The team told me we would rather eat rocks and drink gasoline than be split up"](https://daily.dev/posts/compulsion-games-officially-separates-from-xbox-the-team-told-me-we-would-rather-eat-rocks-and-dr-mudqkqfaj) · GamesIndustry.biz · 0 upvotes · 0 comments - [Rumor: Xbox Planning to Close South of Midnight & Hellblade Studios](https://daily.dev/posts/rumor-xbox-planning-to-close-south-of-midnight-hellblade-studios-qauzukhpo) · 80 LEVEL · 0 upvotes · 0 comments - [Report: Xbox considering sales or closures at Arkane and others](https://daily.dev/posts/report-xbox-considering-sales-or-closures-at-arkane-and-others-wf7vlnadr) · Game Developer · 1 upvotes · 0 comments --- Tags: [#microsoft](https://daily.dev/tags/microsoft), [#game-development](https://daily.dev/tags/game-development), [#xbox](https://daily.dev/tags/xbox) [View this post on daily.dev](https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Compulsion Games is seeking partners after Xbox spin off","url":"https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32"},"datePublished":"2026-07-14T18:02:59.516Z","dateModified":"2026-09-13T21:29:44.857Z","description":"Compulsion Games, the studio behind South of Midnight, has published an open letter seeking collaboration partners after being spun off from Xbox last week....","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/ceb1549b41f50687125fa4d5ec27abec?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/ceb1549b41f50687125fa4d5ec27abec?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"Game Developer","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"Game Developer","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/5fbb7418db8746769a45f55309bbdf13","url":"https://daily.dev/sources/gamedeveloper"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":1},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"microsoft,game-development,xbox","timeRequired":"PT3M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"Game Developer","item":"https://daily.dev/sources/gamedeveloper"},{"@type":"ListItem","position":3,"name":"Compulsion Games is seeking partners after Xbox spin off"}]} {"@context":"https://schema.org","@type":"FAQPage","@id":"https://daily.dev/posts/compulsion-games-is-seeking-partners-after-xbox-spin-off-7ntguys32#faq","mainEntity":[{"@type":"Question","name":"Why did Compulsion Games split from Xbox Game Studios?","acceptedAnswer":{"@type":"Answer","text":"Compulsion Games was one of four studios jettisoned from Xbox Game Studios as part of what Microsoft called its most significant restructure in Xbox history. 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