Todd Howard confirmed that Fallout 5 has entered preproduction while The Elder Scrolls VI remains the primary development focus for Bethesda Game Studios [1].
This strategic shift follows sweeping layoffs at Xbox earlier in June, signaling a move to prioritize flagship role-playing game franchises to drive future revenue [1, 5].
Howard, the director of Bethesda Game Studios, said the studio is utilizing the Creation engine for these projects. "Our teams are now developing The Elder Scrolls VI and Fallout 5 on Creation …" Howard said [1].
While Fallout 5 is moving forward, the studio has not yet transitioned it into full production. A Bethesda spokesperson said the title is currently in preproduction [4]. This stage typically involves conceptual design and planning before the bulk of development resources are committed.
The focus on The Elder Scrolls VI comes as Xbox Game Studios reorganizes its internal priorities. The company is leaning into its most established intellectual properties to stabilize its portfolio after the June workforce reductions [1, 5].
Bethesda is also reportedly working on remasters of Fallout 3 and Fallout: New Vegas [4]. These projects aim to bring older titles to modern hardware while the studio prepares for the next generation of its open-world RPGs.
The current development pipeline reflects a broader effort by Xbox to maximize the impact of its first-party studios. By focusing on a few high-profile titles rather than a wide array of smaller projects, the company aims to ensure the quality, and commercial success, of its next major releases [1, 5].
“"Our teams are now developing The Elder Scrolls VI and Fallout 5 on Creation …"”
Bethesda's decision to prioritize two massive RPGs simultaneously suggests a high-risk, high-reward strategy for Xbox. By concentrating resources on The Elder Scrolls and Fallout, Microsoft is betting on established fanbases to recover from the instability caused by recent layoffs and to secure long-term revenue through a few 'tentpole' releases rather than a diversified game library.
