Prey Developer’s Closure Was a Surprise to Studio Director Since it Did “Really Good Work”

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More than a year after the studio that created Prey, Arkane Austin, was closed following the disappointing launch of Redfall, former studio director Harvey Smith has shared his thoughts on his career and the studio’s closure. In an interview, Smith expressed his surprise at learning from Microsoft the night before the May 2024 shutdown that the studio would be closing, as he believed Arkane Austin had produced high-quality work.

He observed that companies sometimes make unpopular decisions, but he was particularly shocked by the closing of Arkane Austin. The studio had created highly-rated games like Dishonored, in collaboration with Arkane Lyon, and Prey.

According to Smith, every company has its own reasons for the choices it makes. While he doesn’t always agree with those choices, he was particularly surprised by the direction of the studio that created both Dishonored and Prey. During the pandemic, his team was working on Redfall as the gaming industry as a whole began experimenting with games-as-a-service models. He acknowledges that’s just how things are, and that creative projects are inherently unpredictable.

Regarding the game most likely responsible for the studio’s closing, Redfall, Smith reflected on his fortunate career in the gaming industry. He also acknowledged personal responsibility for some of the challenges Arkane Austin experienced during Redfall‘s development. He pointed out a broader trend of experienced developers leaving the industry, leading to shorter resumes and fewer veterans, and noted that Arkane Austin included many people new to game development.

He admits he’s unusually positive, but acknowledges that’s partly because things have generally gone well for him. Even during tough times, he’s able to see the bigger picture, recognizing past successes that balance out any setbacks. Having a history of both good and bad experiences allows him to gain perspective and appreciate how far he’s come.

The May 2024 shutdowns of Arkane Austin and other Xbox Game Studios teams, like Tango Gameworks, were unexpected. Microsoft Gaming CEO Phil Spencer explained these closures were difficult but necessary choices made to ensure the long-term health of the business.

Ultimately, I need to ensure the company operates sustainably and continues to grow. That sometimes means making difficult choices – ones I don’t enjoy, but that someone has to make. We’ll keep moving forward and investing in Xbox, with the goal of building a strong business that allows us to continue creating experiences like the recent showcase.

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2025-12-17 16:12