Xbox gives sudden 35% discount on award-winning game whose developer was shut down a day earlier

Xbox is now giving a 35% discount on Hi-Fi Rush after Microsoft suddenly shut down several studios on May 7, 2024, including Tango Gameworks, the brains behind the critically acclaimed title. The Microsoft Store discount has brought the price down to $19.49 (or regional equivalent).

Let's take a deeper look at what this sudden discount for Hi-Fi Rush entails, and what it means for other studios that Microsoft recently acquired.

Hi-Fi Rush is a 2023 breakout hit and BAFTA Animation Award winner. The title was acclaimed for its unique rhythm-based combat gameplay, and despite Tango Gameworks' shutdown, it remains available on Xbox Game Pass and is currently at its lowest price point ever on the Microsoft Store. The game is currently available for $19.49, which is a 35% discount on its original price.

Ding Babaka, the director of Arkane Lyon Studios that survived this purge, took to his social media handle on X to voice his opinions:

Matt Booty, Head of Xbox Game Studios, told employees at the studios that joined Microsoft under Bethesda parent firm ZeniMax, that the losses were due to "reprioritization of titles and resources."

The studios that were shut down include Bethesda firms like Arkane, Tango Gameworks, and Alpha Dog Games. Microsoft's acquisition of ZeniMax in 2021 for $7.5 billion brought all these Bethesda firms under its radar, almost all of which were hit with this unfortunate scenario in 2024.

Microsoft's purchase spree saw new heights with the acquisition of Activision Blizzard in 2023 for $69 billion. Last month, Microsoft's Xbox content and services segment announced a 62% increase in third-quarter revenue, fueled primarily by the Activision-Blizzard acquisition.

ZeniMax, the developer of The Elder Scrolls