Compulsion Games seeks new partnerships following spin-out from from Xbox

Compulsion Games, developer of South of Midnight, has announced it is open to working with and supporting other studios following its independence from Xbox.

In an open letter, the studio stated that as it returns "to its roots as an independent developer, [it] is expanding opportunities to collaborate with studios across the games and entertainment industry."

"With deep experience in creating acclaimed original IP, we bring our artistry, technical expertise, and collaborative approach to every project," it said.

"We invite partners to leverage the talent and creativity of the award-winning team behind South of Midnight, a game that was honoured with a BAFTA Award, a Peabody Award, seven Canadian Game Awards, and recognised on multiple 'Best Games of 2025' lists."

Compulsion Games, along with Double Fine Productions, was spun out of Xbox following significant cuts at the platform holder last week.

Xbox bought Compulsion Games and Ninja Theory in 2018. Ninja Theory was also affected by the changes and is now looking for new ownership and funding, along with Undead Labs.

As part of its deal to become independent from Xbox, Compulsion Games will keep the rights to Contrast, We Happy Few, and South of Midnight.

"We're grateful for the years we spent with Xbox, for the support they provided our team, and for the opportunity to bring these games to players around the world," the developer said.

"As an independent studio, we're excited to continue building the distinctive games that define Compulsion while taking the next steps in our journey."

It continued: "Our immediate priority is to support our team throughout this transition period. We are confident in the future of Compulsion Games and look forward to the next chapter where one thing will remain constant: we will create unique games that tell important stories, all with the goal of touching the hearts and minds of our players."