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The Verge: The Coalition and inXile will be axed after releasing Xbox Series X exclusive games

Olivia Bennett by Olivia Bennett
September 25, 2026
in Technology
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The Verge: The Coalition and inXile will be axed after releasing Xbox Series X exclusive games
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The Verge: The Coalition and inXile will be axed after releasing Xbox Series X exclusives: via NEWXBOXONE.RU

In June, Microsoft announced it was returning to console exclusivity. They then announced that the first projects would be released exclusively on Xbox Series X | The S and PC versions would be Gears of War: E-Day from The Coalition Studios and Clockwork Revolution from inXile Entertainment, respectively. Now, they’re one of the few teams still at Xbox Game Studios.

Reporter Tom Warren as part of the publication edge Claims that both studios can now avoid massive cuts only through upcoming projects. According to him, the team will be cut after the game is released:

Some employees I spoke to believe that layoffs will be inevitable at The Coalition and inXile following the release of Gears of War: E-Day and Clockwork Revolution. In fact, Microsoft has begun some layoffs at The Coalition this week. By the way, both studios have released exclusive games for Xbox Series X|S.

Earlier this week, news broke that Juan Vaca, who served as story director on the new Gears of War: E-Day, was fired from the league as part of a new phase of the reboot.

Let’s remember that among Xbox Game Studios, apart from The Coalition and inXile, only Playground Games remains, which is currently finishing work on Fable and recently merged with Turn 10. While Mojang now actually reports directly to Asha Sharma, the rest of the publishing team has been laid off, transferred to other departments, or is planning to close (Ninja Theory).

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