Bethesda Hints at Fallout 5 Following Recent Xbox Layoffs

Xbox is currently undergoing a significant transformation, which includes plans to lay off around 3,200 employees over the next year, affecting well-loved studios like id Software and Obsidian Entertainment. In a bid to reassure fans that everything is still on track, the company has unveiled a lineup of upcoming projects from Bethesda Game Studios, which also faced layoffs, including the official confirmation that Fallout 5 is in development.

Bethesda director Todd Howard stated, “We’re investing more deeply in the worlds players love, giving creators a bigger role in shaping their experiences, and bringing our teams closer together so we can get our games into your hands sooner, support them longer, and continue building them alongside you for decades to come.”

Details about Fallout 5 are scarce, and it appears the project is still in its early stages. Howard mentioned that “Fallout is one of our biggest priorities today” and that “Fallout 5 remains our long-range destination,” indicating it is currently in preproduction. This announcement comes over a decade after the release of Fallout 4, the last main entry in the series. Since then, the franchise has expanded with the online spinoff Fallout 76 and a live-action TV series.

Additionally, Howard revealed that a new Fallout game is being developed at Obsidian, the studio behind 2010’s Fallout: New Vegas. He teased, “We’ll have more to share in the future,” and confirmed that remasters of both Fallout 3 and New Vegas are also in the works, though no release dates have been provided.

Regarding The Elder Scrolls VI, which was announced back in 2018, Howard did not offer a release window but mentioned that it will use the same technology platform as Fallout 5. He emphasized that the game is “our primary development focus today, with the majority of our team currently working on the next chapter of the franchise,” adding, “we’re where we planned to be, loving how it looks, and playing it every day.”

For those curious about Starfield, Howard noted that the franchise “remains an important part of our future.”

Xbox CEO Asha Sharma previously indicated that, amid the upheaval, the brand would concentrate more on its most profitable franchises, aiming to become “one of the few companies that entertains more than a billion people each day.” This new wave of announcements from Bethesda, which Xbox acquired along with ZeniMax for $7.5 billion in 2021, aligns with that vision.

However, the timing of these announcements—especially following a major showcase event in June—suggests a strategy of damage control, as the company seeks to demonstrate that the future is not as grim as it may appear after the significant layoffs. Bethesda’s new game reveals coincided with a rally held by ZeniMax employees in Maryland to protest the layoffs.