Undead Labs

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Microsoft is reportedly weighing the closure of Undead Labs, the studio behind the State of Decay series, as part of a broader reset of its Xbox division. The move could affect 110 jobs at the studio, which is currently developing State of Decay 3.

Reported by AI

Undead Labs has shared the first gameplay footage for State of Decay 3 during the Xbox Games Showcase. The trailer highlights improved combat and visuals while confirming deeper systems remain in development. Creative director Kevin Patzelt discussed the choices in a follow-up interview.

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