Undead Labs separates from Xbox and confirms State of Decay 3 development
The world of survival gaming is buzzing with good news, as the developers of State of Decay have taken a major step toward autonomy. Undead Labs has officially confirmed that the studio has separated from Xbox to become an independent, employee-owned developer, signaling a fresh, exciting chapter for the franchise.
This move isn’t just a corporate restructuring; it’s a declaration of independence fueled by a commitment to the community. Undead Labs shared this news in September, revealing that their next major title, State of Decay 3, is actively in development. The studio is currently deep into the alpha phase and plans to invite players into a closed beta by the end of 2026.
The goal behind this independence, according to Studio Head Phillip Holt, is simple: to focus entirely on crafting the best possible games and earning the continued support of the players who choose to spend their time with them. “Independence brings us closer to our community and lets us focus on what matters most: making the best games we can and earning the continued support of the people who choose to spend their time with us,” Holt stated.
This shift naturally met a positive reaction from the gaming community. While recent corporate shakeups within the industry have caused confusion, players are largely thrilled by the development’s focus on employee ownership. Comments across online forums reflect this enthusiasm, with many seeing the move as a massive win for both the creators and the players.
Fans are particularly excited about the dual benefit: the development team retains ownership, while subscribers still get access to the games through platforms like Game Pass. One user noted that this combination of independence and continued access was the best deal they had seen in a long time.
The roadmap for State of Decay 3 remains ambitious. The studio is aiming for a 2027 launch, bringing the highly anticipated title to Xbox, Game Pass, PC, and PlayStation. This timeline suggests that Undead Labs is not just rebuilding, but is preparing to deliver a next-generation survival experience.
The promise of the game is already being noticed by critics and players alike. During a recent demo at Gamescom, IGN reviewer Michael Highham walked away from his session with a strong impression. He noted that even in the alpha build, the improved gunplay and movement demonstrated genuine promise, suggesting that the new iteration of the series is worthy of the current generation of gaming.
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