---
title: 'Xbox Game Studios Boss Departs - IGN Daily Fix YT'
source: 'https://youtube.com/watch?v=tAIsRUc70nI'
video_id: 'tAIsRUc70nI'
date: 2026-06-15
duration_sec: 155
---

# Xbox Game Studios Boss Departs - IGN Daily Fix YT

> Source: [Xbox Game Studios Boss Departs - IGN Daily Fix YT](https://youtube.com/watch?v=tAIsRUc70nI)

## Summary

Two senior Xbox Game Studios leaders, Craig Duncan and Luis Okonor, are departing Microsoft after decades at the company, including long tenures at Rare. Meanwhile, reports indicate that Compulsion Games, the developer behind South of Midnight, is being shut down with over 90 staff layoffs.

### Key Points

- **Senior Xbox Leaders Depart** [0:29] — Head of Xbox Game Studios Craig Duncan and chief of staff Luis Okonor are leaving after decades at Microsoft. Both previously served long tenures at Rare, with Duncan heading the studio for over 10 years.
- **No Reason Given for Departures** [1:19] — No reason was provided for their joint exit, but it comes amid concerns over Xbox Game Studios' slim profit margins and potential layoffs.
- **Layoffs Imminent** [1:34] — A Bloomberg report signals layoffs could happen as soon as next month, with smaller teams like Double Fine and Turn 10 Studios particularly at risk.
- **Compulsion Games Shutdown** [1:51] — Microsoft is reportedly planning to shut down Compulsion Games, developer of South of Midnight and We Happy Few, with layoffs potentially exceeding 90 staff.
- **South of Midnight Performance** [2:05] — South of Midnight launched in April 2025 to critical acclaim but failed to find a significant audience, releasing on PlayStation 5 and Nintendo Switch 2 in March.

### Conclusion

The departures and reported studio closure signal significant turmoil within Xbox Game Studios, with potential layoffs looming and concerns over the division's profitability.

## Transcript

What's up everybody? Damon here and for
today's daily fix, we have two Xbox game
studios leaders depart and a firstparty
Xbox developer is reportedly shut down.
This is your daily fix.
Presented by Universal Orlando Resort
and its newest theme park, Universal
Epic Universe.
Two of Microsoft's most senior managers
overseeing Xbox Game Studios are
reportedly departing the business. Head
of Xbox Game Studios Craig Duncan and
chief of staff Luis Okconor are leaving
Xbox after decades at the firm. Both
previously served long tenures at
celebrated British studio Rare, which
Duncan headed up for more than 10 years.
Duncan wrote in an email announcing his
departure, "When I stepped into the role
of leading XGS 20 months ago, my purpose
was to serve our studios, our teams, and
the people making our games. Together,
we set out to deliver high-quality
games, strengthen the cultural fabric
across our studios, and help shape the
future of the business. I'm proud to say
we deliver many flawless launches that
drove business success for the company.
Louise has been a thoughtful, creative,
and trusted partner who has consistently
championed the craft and supported our
studios with clarity and care. I'm
grateful for everything she's brought to
XGS, and I'm sure she'll be successful
in whatever comes next for her. The
departures were first reported today by
the game business. No reason was given
for their joint exit, though it comes at
a time of intense concern for the future
of Xbox Game Studios and its staff after
a dire warning from new Xbox boss Asha
Chararma over the division's slim profit
margin. Chararma's comments have been
taken by many as a public warning that
job losses are imminent and indeed a
Bloomberg report signal that layoffs
would happen as soon as next month. Fans
are particularly concerned over the fate
of several smaller teams such as Double
Fine and the already downsized Turns 10
Studios. One analyst said, "The studios
most exposed are brilliant for prestige
and rotten for the spreadsheet." And
speaking of, Microsoft is reportedly
planning to shut down South of Midnight
and We Happy Few developer Compulsion
Games. It also developed 2013's
Contrast. Kitaki reports that the
layoffs may total more than 90 staff
just months after the Canadian studio
was advertising jobs for a new IP.
Microsoft has yet to comment. South of
Midnight, an action adventure game set
in a fictionalized American deep south,
launched in April 2025. While it was
wellreceived by critics, it failed to
find a significant audience. It launched
on PlayStation 5 and Nintendo Switch 2
in March. Compulsion Games is a Canadian
developer founded in 2009. Xbox acquired
it in 2018. And that is your daily fix
for Monday, June 15th. Now that you're
caught up on the news, check out this
exclusive boss fight gameplay from Final
Fantasy Residence. I'm Damon Hatfield.
And for all your video game news, stay
tuned to IGN.