Project Blackbird, the working title for an upcoming MMORPG from Zenimax online studioshas been reportedly interrupted when the parent company Microsoft announces sweeping layoffs over several of its brands. Zenimax Online Studios has given additional work on Fallout 76 and Downfall (2016), but it is probably best known as the developer of Elder rolls onlineAnother fantasy mmorpg in the world by Nirn.
Elder rolls online was officially revealed in May 2012, six months after the launch of SkyrimAnd it launched almost two years later, in April 2014. More than a decade since it was released, the game still sees Daily Player bills of more than 88,000, and although it has not reached the same level of critical success as the Franchiseal's latest game with a player, it has shown surprising life.
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After that success, Zenimax Online Studios had apparently worked with another MMORPG, but new reports indicate that it has been canceled before they have even been officially revealed or received a correct title. According to gaming journalist Jason Schreier, forwarding information from Bloomberg and actively covered the significant layoffs on Microsoft-owned studios that are happening today, Project Blackbird had been under development since 2018, about four years after the launch of Elder rolls online. Microsoft does not seem to have officially confirmed any of this information, but it comes in the midst of a flooding of reports on other interrupted projects and the possible preparation of up to 9,000 workers on development studios owned by Microsoft, which corresponds to about one of each 25 members of the company's labor force.
Microsoft is reportedly closing MMORPG after seven years of development
Breaking: The new MMORPG project from Zenimax Online Studios, manufacturer of Elder Scrolls Online, has been canceled as part of the Xbox permit, says sources Bloomberg News. The project, code name Blackbird, had been under development since 2018. Even more news to come this morning. -Jason Schreier (@jasonschreier.bsky.social) 2025-07-02T15: 05: 30.540z
Project Blackbird is not the only upcoming game at Microsoft that is said to get the ax before the publication. Reports also show that action adventure games Permanent has been canceled after it was first announced to be under development in rare more than five years ago, and after more than a decade in development. This news was particularly surprising, as Microsoft had released a promising report on the game's progress just over a month ago and even contained it during the Xbox Games Showcase on June 8th. The initiative and Crystal Dynamics' Perfect dark has also been reportedly suspended.
Although it will not necessarily lead to complete shutdown of their games under development, the layoffs also seem to affect many other studios under Microsoft Banner. Reports indicate that many studios working on Customs calls Games meet hard, as well Forza Motorsport series Developer turn 10, as Schreier reports, is about to lose about half of its staff. This comes about a week after news that Turn 10 supported for layoffs, originally reported by Tom Warren of the Verge.
