From IGN · Kirk McKeand · · 1m
State of Decay 3 Revealed Early Due to Xbox Anxiety
Undead Labs boss admits Xbox's acquisition spree made State of Decay 3 reveal early to avoid being swallowed up.
In brief
Undead Labs boss admits Xbox's acquisition spree made State of Decay 3 reveal early to avoid being swallowed up. Undead Labs' CEO Holt revealed State of Decay 3 was announced early in 2020 due to fears of being acquired by Microsoft before completion. Originally reported by IGN.
State of Decay 3 revealed early
Undead Labs' CEO Holt revealed State of Decay 3 was announced in 2020, two years after State of Decay 2.
“it was a bit of a marker on the table for me. we're saying state of decay 3, we're announcing it, it's public, the audience now knows it's in development.”
Anxiety over Xbox acquisition
Holt expressed worry that Undead Labs might get 'swallowed up or divested' before completing the game.
“i was a little worried about getting swallowed up or even divested before we had a chance to present to the world what we were working on.”
Microsoft acquisition spree

Microsoft acquired Undead Labs in 2018, leading to recent layoffs and studio independence.
“microsoft acquired undead labs, alongside playground games, ninja theory, and compulsion games, in 2018.”
Small team development
Undead Labs had a small team working on State of Decay 3, with development starting in 2023.
“i got myself in a little trouble saying we didn't really have a team working on the game at that point.”
State of Decay 3 development
State of Decay 3 remains in active development despite layoffs and will launch day one on Game Pass.
“it was a relatively small game inside a giant organization.”
At a glance
Undead Labs' CEO Holt revealed State of Decay 3 was announced early in 2020 due to fears of being acquired by Microsoft before completion.





