Obsidian Entertainment's 2025 releases Avowed and The Outer Worlds 2 received positive reviews but fell short of sales expectations, while Grounded 2 proved a major success. Studio head Feargus Urquhart described the RPGs' results as disappointing yet instructional, prompting reflections on development cycles. The company now aims for shorter timelines and has no plans for The Outer Worlds 3.
In 2025, Obsidian Entertainment launched three major titles: the open-world fantasy RPG Avowed, the sequel The Outer Worlds 2, and the survival crafting game Grounded 2. Despite favorable critical reception—Avowed was praised for its Elder Scrolls-inspired experience and The Outer Worlds 2 named a personal game of the year by some outlets—both RPGs underperformed commercially.
Feargus Urquhart, head of Obsidian, told Bloomberg, "They're not disasters... I'm not going to say this was a kick in the teeth. It was more like: 'That sucks. What are we learning?'" He noted the games took over six years each to develop, with Avowed requiring nearly seven years after a reboot two years in, shifting from a Skyrim-Destiny hybrid that director Josh Sawyer deemed unfeasible: "I don't think there’s a team on the planet that could execute on this."
In contrast, Grounded 2, developed in about three years primarily by a sub-team, achieved significant success as a continuation of the original survival adventure. This disparity has led Obsidian to reconsider its approach. "I don't think anybody really likes five-, six-, seven-year dev cycles," said The Outer Worlds 2 director Brandon Adler. Urquhart emphasized evaluating costs and timelines, targeting three-to-four-year cycles moving forward.
External factors may have influenced sales, including a BDS-related boycott of Xbox products over geopolitical ties. Obsidian, acquired by Microsoft in late 2018, plans new content for The Outer Worlds 2 but has shelved The Outer Worlds 3. Future projects will expand the universe shared by Avowed and the Pillars of Eternity series. VP of Operations Marcus Morgan stressed consistency: "You need to keep having at-bats, because at some point, if you can consistently make good stuff, you'll get those breakout hits."
Urquhart affirmed the studio's focus: "Our job, all of us here, is to go make games that people want to play and buy, and if we continue to do that, then we have a solid business."