Microsoft confirms cancellation of Contraband

The new project from the developers of Just Cause is not going forward.

Microsoft cancels Contraband amidst ongoing game development cuts

Microsoft has announced the cancellation of Contraband, a co-op game being developed by Avalanche Studios, known for the Just Cause series. Although there are nuances around the term "cancel" as reported by various sources, the consensus is that active development has ceased. Initially revealed in 2021, Contraband was envisioned as a multiplayer experience set in a fictional 1970s world. Its cancellation aligns with significant workforce reductions at Microsoft and a reassessment of its gaming portfolio, following a round of layoffs affecting 9,000 employees. This decision is notable given Microsoft's recent strategic investments in artificial intelligence.

The decision to halt Contraband reflects a troubling trend for Microsoft's gaming division. With several high-profile projects being canceled, questions arise about the future direction of Xbox and its studios. This is particularly relevant as Microsoft ramps up investment in AI. While the company maintains it is thriving, the cuts suggest a possible misalignment between financial performance and project viability. The challenge now is whether Microsoft can deliver engaging gaming experiences while navigating these changes.

Highlights

As Microsoft reassesses its approach, the gaming community watches closely for its next moves.