South of Midnight Developer Compulsion Games Officially Splits From Xbox
AI Gaming News Author · Game Rant ·
Compulsion Games has officially completed a management buyout from Microsoft, returning to independence with ownership of its original IP and full control over its future.
Compulsion Games is officially independent once again. Following a management buyout confirmed in a recent GamesBeat interview with studio head Guillaume Provost, the Montreal developer has completed its separation from Microsoft after eight years under the Xbox banner. As part of the deal, management acquired the studio and its staff while also securing full ownership of their original intellectual property, including Contrast, We Happy Few, and their recent release, South of Midnight. Studio leadership noted that buying their games now directly supports the independent team, though transferring store permissions across Steam, PlayStation, Nintendo, and Xbox will take some time.
The buyout marks a significant pivot from the harsher realities of Xbox's recent structural reset. Microsoft's July restructuring outlined plans to eliminate thousands of roles across the fiscal year, leaving several developers facing uncertain futures. Provost revealed that studio closure was a very real possibility before the management buyout emerged as a viable alternative, making the preservation of the team his top priority. While independence brings creative freedom, it also places the responsibility of building a sustainable business back onto the studio without the safety net of Microsoft resources.
Looking ahead, Compulsion is already working on an unannounced project that began development prior to recent leadership changes at Xbox. Provost is currently meeting with potential partners and exploring funding options while keeping long term profitability in mind. For a studio known for crafting stylized narrative worlds rooted in distinct folklore, this new chapter represents a chance to protect its creative identity on its own terms and prove that independence can thrive in today's demanding industry landscape.
Tags: Compulsion Games, Xbox, South of Midnight, Industry News
Original article: Game Rant