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Splash Damage Nearly Acquired State of Decay Creators Undead Labs Before Deal Collapsed

Simon Ellis 0 comments 2 min read

Splash Damage nearly acquired State of Decay creator Undead Labs, but the deal collapsed. The studio remains employee- owned and is developing State of Decay 3.

Splash Damage Nearly Acquired State of Decay Creators Undead Labs Before Deal Collapsed
GAMES

Undead Labs nearly sold its studio to Splash Damage for the State of Decay franchise, but the deal collapsed. This shift keeps the zombie survival series in independent hands rather than merging it into a larger publisher. Players and industry watchers should note that the studio remains autonomous and focused on its own development roadmap.

State of Decay game artwork
Splash Damage nearly acquired State of Decay creator Undead Labs before the deal collapsed.

Undead Labs remains employee-owned and independent after acquisition attempt failed

The studio behind State of Decay returned to independence after the acquisition attempt failed. Splash Damage was the intended buyer, with investment firm Emona Capital expected to back the transaction. The specific reasons for the deal falling apart remain unspecified in available reports.

Undead Labs is now fully employee-owned and operating as an independent entity. The company is currently working on State of Decay 3, though it has not yet announced a publisher for the title. This ownership model enables the development team to maintain creative control over the franchise's direction.

This development occurs within the context of broader restructuring at Microsoft's gaming division. The studio's independence reflects a broader industry trend where developers seek autonomy following failed corporate acquisitions. The team is building upon the foundation established by previous State of Decay titles.

We have tracked State of Decay closely, including earlier reports where Microsoft Confirms Senua and State of Decay 3 Are Not Canceled. The studio's current status ensures that development continues without external acquisition interference. The focus remains on delivering the next installment in the series.

Source: IXBT

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