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First reported by Variety
Xbox to Lay Off 3,200 Employees and Sell Four Studios in Major Restructure

Obsidian Cancels Avowed Sequel, Shifts to New Fallout Game Amid Xbox Layoffs

According to a Bloomberg report, Obsidian Entertainment has canceled a planned sequel to Avowed and is pivoting to develop a new Fallout game. The shift comes amid ongoing layoffs at Xbox and Microsoft's game studios. Studio design director Josh Sawyer is reportedly leading the new Fallout project, fulfilling a long-time fan request but representing an unexpected change in Obsidian's roadmap.

Kenneth Shepard4h ago2 min readenNews
Read on kotaku.com

Key quotes

Obsidian, the developer behind Avowed and The Outer Worlds, is, according to a new report from Bloomberg, canceling a planned Avowed sequel and pivoting to a new Fallout game.
It's something fans have long asked for, but it's also a surprise shift that wasn't originally part of the plan.
According to Bloomberg's sources, studio design director Josh Sawyer will reportedly be leading the team

From the article

The shake-up comes as part of Xbox's latest mass layoffs
Continue reading on kotaku

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