"I'm still blown away by the amount of talent": Hellblade devs Ninja Theory face closure after Microsoft fail to reach a deal with buyers

Earlier this year, Microsoft announced that they were trying to sell UK-based Hellblade creators Ninja Theory as part of their steady efforts to siphon larger, shinier doubloons from the Xbox gaming business by laying off thousands of people. Today, they are proposing to close Ninja Theory, having ultimately failed to reach an agreement with buyers, though they're still holding out hope of a happier outcome. The news comes as part of the latest round of Microsoft cuts, which have seen Xbox lay off 268 people and merge several of their best-known studios.

Back in July, Microsoft announced that Ninja Theory alongside Undead Labs had "entered terms to join new ownership with funding to complete and grow" their existing projects. While Undead Labs have now been successfully sold off, to parties unknown, Microsoft say they haven't managed to stick the landing with Ninja Theory. "Unfortunately, two separate agreements for Ninja Theory fell through," writes Xbox chief creative office Matt Booty in a newswire memo. "We will now begin consultation with employees on a proposed closure while continuing to explore other paths forward."

If I take consolation from anything, it's that Ninja Theory have been kicked around a fair bit over the years and have managed to pull through. Founded in 2000 as Just Add Monsters Limited, they were initially owned by Argonaut Games, for whom they created original Xbox title Kung Fu Chaos. After Argonaut went under, Ninja Theory bought their independence. They subsequently avoided bankruptcy by signing on with Sony to make spirited but formulaic PS3 action game Heavenly Sword, notable for the presence of Andy Serkis as a mad king.

Ninja Theory found fame with the well-received Enslaved: Odyssey to the West, an Alex Garland collaboration and rewrite of the Chinese novel Journey to the West. Then, they found infamy with DmC: Devil May Cry, a reboot for Capcom's then-ailing action series that takes inspiration from Fight Club, Jack Kerouac, and The Sex Pistols.

Nowadays, of course, Ninja Theory are best known for the Hellblade games, beginning with 2017's Hellblade: Senua's Sacrifice. I really liked Senua's Sacrifice, which attempts to portray psychosis by way of a disembodied chorus redolent of Ancient Greek theatre, though I've read mixed reactions from people who have experienced the condition themselves. Microsoft acquired Ninja Theory in 2018, and the studio went onto make Senua's Saga: Hellblade II, which our reviewer Rick Lane deemed uneven. They revealed a third game, Senua, just weeks before Microsoft announced that they were selling Ninja Theory off. The rather callous close timing of these announcements was apparently a bid to rustle up interest from buyers.

Current and former Ninja Theory staff are speaking out about the situation on LinkedIn. "Well, the timing is certainly… interesting," observes Hellblade motion capture artist Robynne Austin, in a post declaring that she's open for work. Former producer Chris Rowe, meanwhile, says he's "devastated" by the news.

"I had one of the best times of my career working at Ninja Theory on Enslaved: Odyssey to the Wes and some DmC afterwards before then leaving to join Capcom, and even after all these years, I'm still blown away by the amount of talent inside that studio," Rowe recalls.

"The crazy thing? Quite a few of the folks I worked with back in the early 2010's are STILL there today and have become absolute masters of their respective crafts. I have so much respect for the skill and talent of that team.

"The Senua series was fantastic at pushing the boundaries of visuals and performance capture," Rowe adds, "but I think a lot of gamers would have loved to see the studio tackle and release a wider variety of core audience action/adventure games over the last 9 years. It honestly pains me to think they may never have another chance to do so based on this morning's news."

Best of luck to all at Ninja Theory. Fingers crossed that you can spin-kick the executioner, once again.