An Avowed sequel may still see a release, according to reports that a small team at Obsidian Entertainment is continuing work on the project. While the game was reportedly cancelled internally to shift studio resources toward a new Fallout title, there remains a path forward for the follow-up.
Speaking in a video regarding recent Xbox layoffs, Bloomberg journalist Jason Schreier noted that a “small team” of developers is still working on Avowed 2. The current strategy appears to be keeping the project alive until the new Fallout development requires more staff. The hope among the team is that they can progress the game close enough to completion that Microsoft will opt to allow them to finish and release it, rather than shelving the work entirely.
Development Progress
According to Schreier, the sequel was further along in development than might be expected for a follow-up to a game released only last year. The team's persistence stems from the belief that if they can get the title near a finished state, the additional cost to bring it to market would be low enough for Xbox to greenlight a full release.
Source Reliability
This information comes from reporting by Jason Schreier. Given his track record of accuracy regarding internal studio operations and industry labor shifts, his reporting on the status of the Avowed sequel is considered highly credible.
This news follows a difficult week for Microsoft, which confirmed 1,600 job losses, with another 1,600 expected in the future, as part of a wider industry contraction. While Obsidian remains under the Microsoft umbrella, the studio has not been immune to these shifts, leading to the pivot toward the Fallout project.