"Perfect Dark" Reboot Scrapped as The Initiative Closes

[JamesG.]

Perfect Dark Reboot Cancelled and Xbox Developer The Initiative Closed as Part of Devastating Microsoft Layoffs
by Wesley Yin-Poole
July 2, 2025


The troubled Perfect Dark reboot is canceled and Xbox studio The Initiative has shut down amid devastating layoffs sweeping across Microsoft today, sources have told IGN.

Perfect Dark's demise comes as part of what is fast becoming a bloodbath at Microsoft, with reports suggesting over 9,000 staff at the company are set to lose their jobs. Sources have told IGN that Rare’s Everwild is canceled as layoffs hit the legendary UK studio. Candy Crush maker King is also hit hard, as is Bethesda’s London office.



In a memo sent to all Microsoft gaming staff and viewed by IGN, Matt Booty, head of Xbox Game Studios, confirmed Everwild and Perfect Dark's cancelation and said the company was winding down several unnanounced projects.

The cuts come hot on the heels of Microsoft's confirmation that it plans to release next-gen Xbox consoles, and has a strong presence at video game show gamescom.



Perfect Dark was conspicuous by its absence during Microsoft's June 2025 showcase, having starred a year earlier with a flashy new trailer. It featured a look at gameplay for the first-person shooter, as well as the welcome return of protagonist Joanna Dark.

The Initiative was a studio spun up by Xbox in 2018 to steer Perfect Dark towards release, with Tomb Raider developer Crystal Dynamics brought in to support.

Perfect Dark first debuted on the N64 back in 2000, developed by Rare.

https://www.ign.com/articles/perfect...rosoft-layoffs

[Cremildo]

I wonder how many millions have gone down the drain after all these years of development.

The N64 original will likely always be the high point of what could have been a solid franchise.

[Nunab18]

Originally Posted by Cremildo

I wonder how many millions have gone down the drain after all these years of development.

The N64 original will likely always be the high point of what could have been a solid franchise.

Not to mention Rare's game that was canceled alongside Perfect Dark. That game had supposedly been in and out of development since 2014. The MMO from ZeniMax that also got canceled was in development since 2018. That's a lot of time, money, and effort up in smoke.

[dyne]

Originally Posted by Nunab18

Not to mention Rare's game that was canceled alongside Perfect Dark. That game had supposedly been in and out of development since 2014. The MMO from ZeniMax that also got canceled was in development since 2018. That's a lot of time, money, and effort up in smoke.

Yeah I didn't realize until pulling up the info yesterday that Everwild was in development longer than PD.

[Nepenthe]

Between them axing Dishonored 3 previously and this by Microsoft and the Deus Ex situation at Embracer, I feel the publishers are personally attacking me…