Arkane Lyon sale talks have given the developer of Dishonored and Deathloop a chance to avoid closure, with Ubisoft among potential buyers, Bloomberg reported Nov. 3.
Who is involved in the Arkane Lyon sale
Bloomberg reported that Arkane Lyon, the Lyon, France studio behind Dishonored and Deathloop, has submitted an offer to Microsoft, and that at least two other game companies have expressed interest.
Insider reported that Ubisoft has been an active suitor, and that internal discussions about acquiring Arkane predated public reports of the studio’s situation this year.
Studio status and timeline
Arkane Lyon is trying to secure a buyer so it can continue operating, Microsoft said in a statement, adding the company is seeking partners to support the team through the remainder of its development work.
About 217 jobs are at risk at the studio, and a consultation period that had been set to end Nov. 13 has been extended by one month, to Dec. 13, the company said.
What could save the studio
Insider also reported that Xbox at one point explored a management buyout that would return the studio to independent operation, but it is unclear whether that option remains on the table.
Any acquisition, including an offer from Ubisoft, would not automatically guarantee long-term stability, industry analysts noted, because buyers must commit sufficient resources to complete ongoing projects and support the team.
Will Marvel’s Blade be released?
The biggest concern for players is whether Arkane Lyon’s Marvel’s Blade will reach release as planned.
First revealed in December 2023, Marvel’s Blade is set in a vampire-infected Paris and is billed as a mature, single-player third-person action game developed by Arkane Lyon in collaboration with Marvel Games.
Insiders and union representatives give conflicting accounts of progress. A union representative described production as nearing completion, while sources contacted by PC Gamer said the project could still take years to finish.
There is no official release date, and acquisition rumors do not ensure the game will launch on schedule, industry sources cautioned.
Union response and company position
France’s video game union STJV said Nov. 4 that a hiring freeze lasting 19 months at Microsoft delayed work and added costs, and that those issues are being cited as reasons for the closure plan.
STJV also said Arkane Lyon has been profitable, but did not provide audited financial figures to support that claim. The union said employees want the studio to remain open so they can finish Marvel’s Blade.
Microsoft emphasized that the closure option in consultation documents does not represent a final decision, and said it is working to find partners to support completion of the studio’s projects.



For now, the fate of Arkane Lyon and the release timeline for Marvel’s Blade depend on whether an acquirer, such as Ubisoft or another party, commits to completing development and keeping the team intact, industry sources said.



