Blizzard Cancels Odyssey MMO Amid Microsoft Layoffs

Microsoft has laid off 1,900 staff members from its video game workforce. This move follows the tech giant's massive $69 billion acquisition of Activision Blizzard, as reported source from IGN.

One of the most notable impacts of these layoffs is the cancellation of Blizzard's long-in-development survival game, Odyssey. The entire team behind Odyssey has reportedly been let go, marking a significant shift in Blizzard's project lineup.

Blizzard used to recruited for its survival game production.

Odyssey, slated to be their first entirely new IP since the launch of Overwatch in 2016(Titan), represented a significant venture for the studio. Not only was it poised to be their second MMO, but it also held the distinction of potentially being the first game released since their acquisition by Microsoft.

The cancellation of Odyssey echoes Blizzard's previous decision to scrap their Titan MMO in 2014, a project whose remnants eventually contributed to the creation of Overwatch and the early PvE components of Overwatch 2.

Although specifics about Odyssey were sparse, its initial announcement highlighted plans for both PC and console platforms. It remains to be seen if they will integrate into other projects within the studio, or if their journey with Blizzard has reached its end.

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The layoff raises questions about the future direction of Blizzard and how these recent layoffs might affect Mircrosoft's upcoming projects since these cuts come at a time when Xbox is gearing up for an exciting lineup of upcoming games (listed as game card below). The gaming industry continues to face a paradoxical situation with record-breaking game releases juxtaposed against widespread layoffs, a trend that seems to be persisting into 2024.

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Odyssey's cancellation was joined by the departure of longtime Blizzard president Mike Ybarra and co-founder/chief design officer Allen Adham. In Mike Ybarra's latest statement on Twiiter, he expressed gratitude and support for his team and the broader Blizzard community. Additionally, Blizzard's Chief Design Officer and co-founder Allen Adham is leaving.

Xbox head Phil Spencer conveyed the decision in a internal staff memo, emphasizing the company's commitment to supporting those affected with severance benefits and assistance during the transition. The layoffs have raised concerns among gaming workers and unions.

The Communications Workers of America (CWA), representing hundreds of gaming workers across Microsoft subsidiaries, highlighted the need for union representation to establish transparency and layoff protections. Wayne Dayberry, a senior quality assurance tester and member of ZeniMax Workers United-CWA, emphasized the importance of worker solidarity in the face of industry layoffs.