Bloomberg says Ubisoft is in talks to buy Arkane Lyon from Microsoft’s Xbox division. The outlet reports that Ubisoft is one of three bidders circling the Deathloop studio, which is currently making Marvel’s Blade. No agreement has been signed, though, and Microsoft says it’s still weighing its options.
The discussions involve roughly 217 employees, Bloomberg reports, and Marvel’s Blade sits right in the middle of them. That includes questions about how the game would move forward and how it would be marketed.
Bloomberg also says Arkane Lyon’s consultation period under French labor rules has been pushed back to December 13, 2026, while Microsoft’s Xbox division reviews the bids on the table. An Xbox spokesperson says no terms have been disclosed and no buyer has been selected.
Another path is still in play. Bloomberg reports that Microsoft is also looking at a management buyout, which would leave Arkane Lyon independent. That would echo past divestitures involving Double Fine, Compulsion Games, and Undead Labs, and some people watching the process favor that outcome because it could help preserve the studio’s creative control.
If you’ve been following Microsoft-owned Xbox’s reset under CEO Asha Sharma, this one matters. Bloomberg says Arkane Lyon is one of five studios being divested after layoffs that hit 3,200 staff. Ubisoft’s French roots make it a natural name to come up here, but there’s also concern that Ubisoft’s six Creative Houses reorganization could box in Arkane Lyon’s independence. Bloomberg has more, but for now Marvel’s Blade and Arkane Lyon’s staff are still stuck waiting.
Author: Chema Carvajal Sarabia
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