In the wake of widespread layoffs across Xbox’s gaming division, Obsidian Entertainment has found itself at the center of intense public scrutiny and speculation. As fans and industry commentators debate the studio’s future, Obsidian director Brandon Adler has issued a sharp rebuke against what he describes as “cold-take artists” spreading misinformation regarding the developer’s identity and operational status. Adler’s public statement, posted via LinkedIn, serves as a defense of the studio’s integrity while expressing deep grief over the loss of colleagues and friends during the recent corporate restructuring.
Adler’s tone is heavily shadowed by the emotional toll of the layoffs, which he characterized as an “extremely difficult week.” Beyond navigating the loss of highly skilled developers, the director addressed the professional damage caused by unsubstantiated rumors circulating online. He urged the industry to recognize the immense talent of those recently departed, stressing that those looking to hire should consider these former Obsidian employees to be among the best in the business, both in terms of their technical contributions and their character.
A significant portion of Adler’s frustration stems from persistent narratives that suggest the “real” Obsidian is long gone. Critics have frequently claimed that the studio has lost the creative spark that defined its early years, suggesting that the team responsible for modern titles is fundamentally disconnected from the company’s storied past. Adler dismissed these assertions as “staggering” in their inaccuracy, noting that they are often propagated by individuals with zero insight into the studio’s actual development history or the specific contributions of its staff.
To refute the idea that the studio has undergone an identity crisis, Adler pointed to a clear, documented “through line” connecting Obsidian’s current roster to its legendary origins in 2004 with Star Wars: Knights of the Old Republic 2 – The Sith Lords. He emphasized that many of the leaders and directors currently guiding the studio’s output—including those behind The Outer Worlds and Pillars of Eternity—are the very same individuals who contributed to classics like Fallout: New Vegas and Neverwinter Nights 2.
Adler freely acknowledged that a studio cannot remain static across two decades, admitting that Obsidian has inevitably changed since its inception. However, he maintained that its core “DNA” remains fundamentally intact, rooted in the same creative philosophy that birthed iconic RPGs. He expressed both a fierce pride in the studio’s history and a genuine excitement for the direction the team is currently taking, despite the turbulent environment created by the industry-wide cuts and subsequent misinformation campaigns.
The controversy surrounding the studio was fueled by recent reports suggesting that a sequel to the upcoming first-person RPG Avowed had been scrapped in favor of a new Fallout project. While former Obsidian co-founder Chris Avellone has stepped in to clarify that Avowed 2 is still being considered for future internal pitches, the speculation continues to swirl. Adler remains focused on the road ahead, currently serving as the game director for an “unannounced” project, signaling that despite the external noise and internal hardships, Obsidian is focused on moving forward with its own vision.
