Home
/
Gaming news
/
Industry trends
/

Undead labs facing departures amidst turbulent times

Undead Labs Faces Layoffs | Uncertain Future Looms Over State of Decay 3

By

Sarah Mitchell

Jul 3, 2025, 02:57 PM

Edited By

Akira Tanaka

Updated

Jul 4, 2025, 11:53 PM

2 minutes of duration

A group of people walking away from a building labeled Undead Labs, signifying staff departures.
popular

Undead Labs, the studio famed for the State of Decay series, is facing layoffs that have ignited worries about its future and the upcoming State of Decay 3. Community reactions reveal a mix of disappointment, frustration, and lingering hope as uncertainty surrounds the studio's next move.

Community Response: A Swirl of Emotions

Many fans voiced their sorrow about the layoffs. One user lamented, "Sad news โค๏ธ" while others expressed skepticism about the game's future. Comments such as, "Iโ€™m not confident at all that this will be released," highlight deep concerns about a lack of substantial updates on development, with some speculating about a potential release date as late as 2027.

Despite the dire sentiment, some community members remain hopeful. A user noted, "The only thing that gives me a glimpse of hope is that MS only sacked a few employees." This indicates a belief that the project may still be alive, allowing a glimmer of optimism among fans.

Questions Surrounding Microsoft's Management

Fans are increasingly questioning Microsoft's management techniques, especially regarding its studios. Phrases like, "Maybe if the game was released, people wouldnโ€™t be getting laid off" point to frustrations with the development pace. Community members are also sharing fears that the studio could be heading into development hell, noting the game's quiet period over five years.

Some users criticized Microsoft's approach as monopolistic, stating, "Like I am half certain that Microsoft just buys studios now, just to take out competition like a good Monopoly is supposed to." Such sentiments reflect growing distrust among fans towards the corporate giant's influence.

Future of State of Decay 3: Hope or Despair?

Amidst the turmoil, conversations have shifted toward what this means for the ongoing development. Comments reflect an urgency from fans: "I think with all these cancellations and layoffs I feel like UL are now forced to show something." This could mean that Undead Labs might need to reveal more about the game sooner than later, potentially to ease anxieties.

"If Microsoft had no intentions of releasing SoD3 then wouldnโ€™t they just axe them all?" asks one skeptical commenter, showcasing the conflicting views about the studio's future under Microsoft.

Key Points to Consider

  • ๐Ÿ”น Fan sentiment largely negative, but hope still flickers.

  • โ–ฝ Speculation grows that the game may not release until 2027 or beyond.

  • โ€ป "Five years of development and all we get is silence" - A prominent community remark.

As Undead Labs grapples with its challenges, the gaming community remains watchful, eager for updates on what lies ahead for State of Decay 3. The road may be rocky, but fans are clearly invested in the outcome.