Bethesda confirms Fallout 5 amid Xbox job cuts

Bethesda has confirmed that Fallout 5 is in preproduction, while Fallout 3 and Fallout: New Vegas remasters are also in development. Obsidian is separately working on its own Fallout game, according to a franchise roadmap released as Microsoft’s gaming division undergoes a reorganization that includes plans to cut 3,200 jobs.

Fallout projects and updates

Bethesda said Fallout 76 will continue receiving updates, including a major expansion planned for next year that serves as a prequel to Fallout 3. That could precede the release of the Fallout 3 remaster, although Bethesda did not announce a date. New seasons are also planned for Fallout Shelter, alongside an unscripted TV show based on the mobile game.

The Obsidian project follows a recent report that Xbox canceled a sequel to Avowed and other Obsidian projects. Bethesda did not provide details about the new Fallout game.

The Elder Scrolls VI and Starfield

The Elder Scrolls VI remains Bethesda’s main priority. The studio said the majority of its team is working on the sequel, while noting that Skyrim has sold more than 65 million copies and is still being played 15 years later.

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“The Elder Scrolls VI is our primary development focus today, with the majority of our team currently working on the next chapter of the franchise.”

Then-Xbox chief Phil Spencer said in 2023 that The Elder Scrolls VI was still “five-plus years away,” making a release before 2028 unlikely.

Bethesda also said Starfield remains “an important part of our future.” The studio plans to add new stories, targeted gameplay improvements and other updates while preparing new Starborn content for next year.

Todd Howard told Bloomberg that he would rather discuss Bethesda’s projects only when they are nearly ready. The studio published the roadmap to give fans more visibility without revealing games too early.

“We do realize we need to find a way to say a bit more so that our fans understand what we’re doing and why, while also protecting that moment when you really see the game and you press play.”

The restructuring has already affected Bethesda, which laid off dozens of workers. ZeniMax Online Studios, the developer of The Elder Scrolls Online, lost 213 employees at its Maryland location and is now said to have 186 staff, around 40 percent of its workforce in early 2025. The studio will continue supporting its game while collaborating with Bethesda on other Elder Scrolls projects.

Xbox cut 1,600 jobs in early July and announced plans to eliminate another 1,600 or so over the next year. Video game unions in the US and Canada have accused Microsoft of unfair labor practices, including bad-faith bargaining and failing to provide workers with notice. Hundreds of employees protested at studio locations this week, including several Bethesda sites.