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Layoffs Hit Obsidian, Some South Park Devs Go – Dungeon Siege 4 Could Still Be Coming

Obsidian Entertainment Cancelling Next Generation Console Game

Obsidian cancels next generation project, but Dungeon Siege fans can still hope for a fourth part.

Sidenote from editor: Here’s a personal note why you should get Dungeon Siege 3 for XBOX rather than PC

Obsidian Entertainment is hit by layoffs and is forced into cancelling next-generation project

All the news of Kickstarter projects being successfully funded has put a positive spin on the gaming media as of late, but unfortunate news has surfaced with Obsidian Entertainment cutting its staff members.

The news came from Twitter, with multiple people from the company expressing regret over the lay offs. Animator at Obsidian, Andre Nguyen, said “Fellow Obsidians were laid off today.” Progammer Michael Bosley also confirmed the lay offs were happening.

Producer on Project North Carolina, the next generation project that has now been cancelled, confirmed he was leaving.

According to GameBanshee, who were initially tipped about the layoffs before they confirmed by ex-employees, say that layoffs were happening “across all disciplines” even to an employee who started on Monday this week.

The tipster also confirmed, along with Project North Carolina being cancelled, that the owners of Obsidian Entertainment weren’t paid for 6-7 months and retirement funding was being affected for employees.

Obsidian’s project includes Dungeon Siege 3 Director

Despite the layoffs, it seems that Obsidian – at least for now – are looking ahead towards future projects.

Over at LinkedIn, Richard Taylor has the title Project Director for an “unannounced title” that has been held for a month. His previous work experience was as a Project Director for Dungeon Siege 3, resulting in some people speculating that Obsidian could be looking for a quick cash grab in light of the layoffs this week.

Obsidian’s next-gen project was rumoured to be an RPG for Microsoft, so this would certainly lineup with that road-map.

It is also worth nothing that Obsidian needed a project to survive, but said themselves it can take around six months to sign up a new project: Joystiq said their tipster told them Project North Carolina was “desperately needed” for the studio’s survival. The website also reports that the CEO, Feargus Urquhart, “choked up” when telling employees the project was canned. Therefore, a sequel to an existing project would be much easier.

Regarding what the next unannounced title is, and whether it will be a Dungeon Siege 4, David Hoffman’s LinkedIn profile – who was an Executive Producer on Dungeon Siege 3 – says there was a “franchise road-map.”

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Published: Friday, March 16th, 2012 Last Modified: March 16, 2012

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