Kotaku report: Microsoft finalizing Obsidian Entertainment acquisition deal

Kotaku report: Microsoft finalizing Obsidian Entertainment acquisition deal

Obsidian has previously suffered some financial trouble earlier in the decade before its successes with Pillars of Eternity.

According to a report from Kotaku's Jason Schreier, technology titan Microsoft is in talks to acquire independent development house Obsidian Entertainment. One of the people that are near the negotiations said that the deal was at the "90 per cent" completion margin, and that "it's a matter of when, not if".

Despite the apparent inevitability of the deal the two companies have a storied history and when Microsoft cancelled Xbox exclusive role-playing game Stormlands in 2012 Obsidian nearly went bust. The company is now working on a new RPG that still has no release date.

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This would be a huge move for the company behind Xbox, which has been on a shopping spree this year, snapping up four game studios including Playground (Forza Horizon) and Ninja Theory (Hellblade).

That statement seems to suggest this deal will not alter Obsidian's agreement with Private Label, but it may impact which systems the untitled Obsidian project is released for. Old school fans may remember a certain iconic Star Wars RPG, Knights of The Old Republic II which dropped in 2005 and is still revered as a cult classic. That's why it had to turn to Kickstarter to fund their Pillars of Eternity IP and its sequel.

Microsoft's biggest weakness this generation has been its stable of first-party developers, and with Obsidian, the company now has an RPG-focused studio that can help it compete against the PlayStation's strong lineup.

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