Xbox exec tells staff they want more smaller games just like Hi-Fi Rush, one day after closing its studio

thesixthaxis.com:

In one of the most double-think statements ever made outside of George Orwell’s 1984, Xbox Game Studios head Matt Booty has told employees that “We need smaller games that give us prestige and awards,” just one day after closing down the game studio that was responsible for the prestigious award-winning game, Hi-Fi Rush.

The statement was made during a town hall meeting for employees with Booty discussing the future goals for Xbox Game Studios, with those internal remarks then shared with The Verge.

It’s not currently clear how many computers were immediately doused in jets of coffee and tea from attendees, but let’s just say that some people were surprised to hear Booty say this considering that Microsoft has just shut down Japanese developer Tango Gameworks.

The studio released Hi-Fi Rush at the start of 2023 during an Xbox showcase, and went on to be a surprise hit. Blending together rhythm action mechanics with Bayonetta-esque combat, a chunky cel shaded art style and a great licensed soundtrack, it struck a chord with the community and picked up three million players within its first few months. It stuck in people’s memories come awards season as well, snagging several Game of the Year awards in various categories.

Microsoft was absolutely chuffed with the game through with Xbox marketing exec Aaron Greenberg tweeting that it “was a break out hit for us and our players in all key measurements and expectations.”

Sales figures have not been shared, and that player count was naturally heavily tied together with Xbox Game Pass, with Microsoft launching first party games day and date onto the game library service. However, it also comes with a budget price that should help with sales volume for non-subscribers.

Tango Gameworks were reportedly pitching a sequel to their higher ups prior to being shut down. A sticking point was apparently that they were requesting more resources to back the project, which Microsoft decided against. When informing staff of the closures of