
Undead Labs is independent and completely separate from Microsoft. The process was announced back in July but is only now being completed. Meanwhile, Undead Labs retains the rights to the State of Decay series, and State of Decay 3 will be released on Game Pass immediately upon release.
Developer at Undead Labs publish A statement about the changes happening at the studio. According to them, they would have to significantly reduce their workforce in order to continue working as an independent.
We’re announcing that Undead Labs is becoming an independent, employee-owned studio. Our goals for the future are simple: to create the best game we can and earn the continued support of those who choose to spend time with us.
Unfortunately, today we also say goodbye to many of our colleagues. It’s difficult to get through this moment knowing that not everyone who helped us get to this point will be able to walk the rest of the way with us. These are incredibly talented developers who have worked on the State of Decay series for years: solving complex problems, looking out for each other, and helping to shape the game and the studio itself. No matter where their careers take them in the future, their work will still be a part of Undead Labs and State of Decay 3.
There are already so many similar announcements in the industry that we really don’t want to add to this list. We would not hesitate to hire these people again and we hope the industry will take notice. To everyone who has left: thank you. We’re proud of everything we’ve created together and thank you for everything you give to this studio, this game, and this community.
Let us remind you that State of Decay 3 is scheduled to be released in 2027, and in the near future the developers will expand the testing scope of the project to new audiences.










