In a surprising turn of events, Microsoft has officially halted development on Contraband, a highly anticipated co-op open-world game from Avalanche Studios. Initially announced four years ago with much fanfare during E3 2021, the game has since seen little to no progress, leading to speculation about its future. Avalanche confirmed that while active development has stopped, the project is not outright canceled, leaving a glimmer of hope for fans. Contraband was set to be a significant title for both Avalanche, known for the Just Cause series, and Microsoft, aiming to expand its gaming portfolio.

In a surprising turn of events, Romero Games has publicly denied reports of its closure, despite facing significant funding challenges. The studio, founded by industry veterans John and Brenda Romero, recently lost financial backing for its unannounced first-person shooter project after Microsoft pulled its publishing agreement. This led to speculation about the studio’s future, with some employees claiming that the entire team was being laid off. However, Romero Games has clarified that it is still operational and is actively exploring new publishing opportunities.