State of Decay 3 Game Pass future uncertain after sale

The future availability of the highly anticipated game State of Decay 3 on the Xbox Game Pass subscription service has been thrown into question following the sale of its developer, Undead Labs, by Microsoft. The studio is among several being divested as part of a major restructuring within the Xbox division, which also included significant layoffs.

According to reports, the sale agreement for Undead Labs frees the upcoming zombie survival sequel from any contractual obligation to launch on Game Pass. While Microsoft will continue to fund the game's development through its release, the new, as-yet-unnamed owner of the studio will have the final say on distribution. This means a day-one release on the subscription service, a standard feature for first-party Xbox titles, is no longer guaranteed.

The game had been confirmed for Game Pass inclusion on multiple occasions, including during a gameplay reveal at the Xbox Games Showcase in June. That presentation also provided the first concrete release window for the title, which is now slated for 2027 on PC, PlayStation 5, and Xbox Series X/S. The game was first announced with a trailer in 2020 but only entered full development more...