Microsoft has found a buyer for Undead Labs, the developer of State of Decay 3. The sale removes the game's obligation to follow Xbox terms, which could prevent a day-one launch on Game Pass. The new owner will be named later this summer.
Microsoft is selling Undead Labs as part of wider cuts that affect 3200 Xbox staff. The company will keep funding the game until its release.
The sale agreement frees State of Decay 3 from any Xbox-controlling terms. This change means the title may not launch on Game Pass unless a fresh deal is reached with the new owner.
State of Decay 3 was announced in 2020 and is due in 2027 on PC, PS5, and Xbox Series X/S. Earlier trailers had stated it would arrive on Game Pass from day one.
