Microsoft has pushed back on a leak claiming Xbox Game Pass is getting a massive overhaul in 2027. The rumor, posted by ResetEra moderator Slayven, described a split into ad-supported ($12.99/month) and ad-free ($19.99/month) tiers, day-one releases disappearing between February and April 2027, and cloud streaming becoming a separate $5.99 add-on for 25 hours. Forbes journalist Paul Tassi took the claims to Xbox directly and got an on-record response. Here's the full statement an Xbox spokesperson gave Tassi:

"We regularly test different Game Pass offerings and look at what works best for players in different markets. We don't have any changes to announce today or plans that have been finalized. There are no changes to previously announced games coming to Game Pass Ultimate on day one."

It seems as though the recent Xbox restructuring that will seemingly lead to a round of layoffs and even studio closures may have some repercussions in store for both gamers and game studios on Xbox Game Pass. According to Fernando Rizo, former CEO of Modern Wolf, and Shams Jordani, CEO of Arrowhead, the studio behind Helldivers, in a recent episode of The Business of Video Games podcast, Xbox has suspended all Xbox Game Pass deals with third-party game studios. Rizo says that he "had some nice dinners with industry colleagues" at a recent trade show in Italy, who told him that "loads of people who were in the frame for Game Pass deals - i.e., you know, nothing was inked yet, but the deals were in advanced discussions - everybody got the rug pulled out from under them." He continues, later saying that "I think they're figuring it out. That's my read anyway," and that "it seems like Game Pass deals—like, we just did one at Caboodle earlier in the year—and I get the feeling that it might have been one of the last ones [anyone] did."

Curiously, there were recent rumors floating around about an upcoming Game Pass tier that would feature only in-house Xbox Studios games. The new Xbox CEO, Asha Sharma, has also indicated on numerous occasions that she sees Game Pass as a way to grow the Xbox player base, specifically with a focus on more price-sensitive markets, which seems to suggest that this might be a temporary pause ahead of contractual negotiations or a potential Game Pass reshuffle that could result in other long-term consequences. One such recent change to Game Pass was the exclusion of day-one access to Call of Duty games from the subscription service, although that came with a substantial price drop for both PC Game Pass Ultimate and Xbox Game Pass Ultimate. One possibility is that this may be a first step towards the rumored unification of PC Game Pass and Xbox Game Pass.

Red Storm Entertainment, the long-standing game studio that previously worked on titles in the Tom Clancy, Ghost Recon, and Rainbow Six franchises, has been officially transitioned to a support-only studio by Ubisoft. Red Storm had been working on The Division Heartland until that was cancelled in 2024, even after having been through a number of playtests. According to sources who spoke to GameIndustry.biz, Ubisoft will lay off as many as 105 workers at Red Storm, while the remaining staff will be dedicated to supporting Ubisoft's other studios in IT, customer relations, and development work on the Snowdrop engine.

The layoffs come after Ubisoft announced its recent cost-cutting measures and studio restructure, which would see the gaming giant reorganized into five "creative houses," all individually responsible and accountable for the games and properties under their management. The ensuing changes and announced cost-cutting measures, which aimed to save €200 million over two years, have already resulted in a number of layoffs at other studios and a massive strike across Ubisoft's international locations.

Shortly after news broke that Ubisoft is, in fact, working on "several" Assassin's Creed launches after its controversial Creative Houses reshuffle, the company has published an official Reddit post detailing the newly appointed lead for the Assassin's Creed franchise as well as giving gamers a taste of what's in-store for the future of the franchise. The most notable take-away from the announcement is that the Assassin's Creed franchise will be led by Martin Schelling as Head of Brand, Jean Guesdon as Head of Content, and François De Billy as Head of Production Excellence.

All three members of the Assassin's Creed leadership team have previously worked on Assassin's Creed games: Schelling was Producer and Senior Producer of Black Flag, Origins, Revelations, and Valhalla; Guesdon was Creative Director of Black Flag and Origins, among other franchise credits; and De Billy served in a number of roles on Revelations and Black Flag and as Production Director on Origins and Valhalla. Ubisoft says the new team "marks the beginning of an exciting and ambitious new chapter" for the franchise, although it will be picking up where previous leaders left off in the aforementioned Assassin's Creed projects Ubisoft already has in the works. Appropriately, given the history, it seems as though the first Assassin's Creed project that will be released after the new leaders take over is the Assassin's Creed Black Flag remake. That said, the remake is likely all but complete, especially when it comes to more meaningful gameplay and artistic elements, meaning the new team likely won't have contributed much to that, if anything.

Gaming giant Take-Two Interactive has announced the sale of its publishing label "Private Division" to an undisclosed buyer. The announcement came as part of the company's second-quarter fiscal 2025 financial report, which highlighted strong performance across its significant franchises. Private Division, known for publishing innovative titles such as OlliOlli World and the recently released No Rest for the Wicked, will transition to new ownership while Take-Two retains control of the label's existing and upcoming game portfolio. In a strategic decision, Take-Two has acquired "substantially all of Private Division's live and unreleased titles," ensuring continuity for games currently in development or receiving ongoing support.

The company's CEO, Strauss Zelnick, reported impressive financial results for the quarter, with Net Bookings reaching $1.47 billion, hitting the upper end of their guidance range. This success was primarily driven by the continued strong performance of the Grand Theft Auto and Borderlands franchises, despite the underwhelming box office performance of the recent Borderlands film adaptation. Take-Two has maintained its ambitious financial outlook, projecting Net Bookings between $5.55 and $5.65 billion for fiscal year 2025. The company's upcoming release slate includes several high-profile titles, with Civilization VII and WWE 2K25 in development. However, the most anticipated release remains Grand Theft Auto VI, scheduled for Fall 2025, which has maintained a low profile since its reveal trailer earlier this year.

Telltale Games, best known for its episodic series of videogames focused on single-player experiences, has announced a restructuring within its organization. The move, which aims to "make the company more competitive as a developer and publisher of groundbreaking story-driven gaming experiences with an emphasis on high quality in the years ahead," will see the laying off of 90 staff members (around 25% of its workforce,) effective immediately. Luckily for us gamers, it appears that the restructuring won't affect any previously announced projects, which include a second season for breakout game The Wolf Among Us.

"Our industry has shifted in tremendous ways over the past few years. The realities of the environment we face moving forward demand we evolve, as well, reorienting our organization with a focus on delivering fewer, better games with a smaller team," said Telltale Games CEO Pete Hawley. "I'd like to express our respect for all the contributions that these incredibly talented artists, storytellers and more have made to this company, and that this decision is in no way a reflection on the quality or dedication of their work, " he added. "We have made available our full career assistance services to help our affected colleagues and friends - and their families - navigate this difficult transition as quickly as possible."