Want to know why Xbox closed Hi-Fi Rush Studio? Matt Booty said he wouldn’t reveal it, but hinted that leadership changes may have been one of the reasons

Following Microsoft’s closure of several studios last month, including Hi-Fi Rush developer Tango Gameworks and Redfall studio Arkane Austin, Xbox executives have been asked about the decision multiple times – or so you hope. Matt Booty recently spoke about the decision, specifically about Tango, and his response was interesting.

The comments from current Xbox Game Studios head Booty come after the console maker’s boss Phil Spencer attributed the closure of the studios to the need to “run a sustainable business”, which means “sometimes I have to make tough decisions that, frankly, are not decisions that I love, but someone has to make them”.

Now, when asked about Tango’s closure during an interview on Variety’s Strictly Business podcast, Booty seemed to suggest that the change in leadership at the studio was due to the departure of founder Shinji Mikami in 2023.

“I won’t go into the details behind this decision, mostly out of respect for the people there,” the executive said, “because we put a lot of effort into making Hi-Fi Rush, it’s a great game and it’s paid off well for us.”

He continued: “I think the thing to think about is that for us this is both a forward-looking situation and a backward-looking situation for a particular game. The success of a game depends on a lot of factors. How is your leadership? How is your creative leadership? Is this the same team that was successful before?

“We have to look at all of those factors together and ask ourselves, are we set up for future success? While there may have been some factors and circumstances that led to success before, they may not all be there when you look at what’s going to happen in the future.”

Booty then spoke about possible options besides closing, noting that studios like Toys For Bob and Twisted Pixel have both become independent after becoming part of Microsoft. “We absolutely look at what business options there are, whether to keep the studio going or to change ownership, and that’s just one of the things we consider across the board,” the executive said. “Sometimes those things go together, and sometimes they don’t.”

If you’re a fan of Hi-Fi Rush or Tango’s other games, those words probably won’t make you feel any better about what’s going on than Spencer’s, especially accepting the fact that the jobs of the people who publish great games can come down to something that, in Booty’s words, sometimes just doesn’t work out from a corporate perspective.