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Compulsion Games begins an unknown number of layoffs at the studio behind South of Midnight and We Happy Few

The video game industry is no stranger to heartbreaking news, and the latest round of cuts at Microsoft-owned studios is yet another continuation of that. They say people begin to become numb to certain sensations, and it seems we’ve reached a point where my own emotions are beginning to gloss over from this repeated news cycle.

On June 25, 2026, gaming reporter Rebs Gaming shared the latest update on X, stating that layoffs had started at Compulsion Games, the team responsible for developing South of Midnight. We knew this was coming, and in effect, many hoped for potential buyouts of these studios so they could continue their work and livelihood under the direction of another publisher.

Compulsions Games were known for their distinctive flavor, with titles such as We Happy Few, South of Midnight, and a personal favorite of mine, Contrast. A film noir-inspired platform puzzle game, Contrast was a perfect encapsulation of the work you could expect from Compulsion Games.

These reductions form a larger shift within Microsoft’s gaming division, as Asha Sharma looks to “right the ship” of the declining Xbox brand. As both budgets and studios within the group have ballooned beyond a reasonable amount, measures are being taken to reduce the issues before an even greater collapse were to occur.

Don’t get me wrong, I’m not defending this whatsoever. Quite a while back, I remember writing another article about the closure of Hi-Fi Rush developer Tango Gameworks, where I mentioned that Microsoft shouldn’t be buying companies it couldn’t afford.

Policeman in We Happy Few

The not so happy outlook for Compulsion Games future. (Image credit: GearBox Games)

One can hope that these layoffs don’t lead to the total closure of Compulsion Games. One can hope their uniqueness is better directed toward games like their earlier entries, such as Contrast, rather than more extensive, less budget-friendly ventures.

Responses to the news have varied. Some fans lament the loss of potential sequels or new ideas from a studio known for taking creative risks. Others argue that such adjustments are essential for long-term viability, especially when resources need reallocating toward projects with broader appeal.

What saddens me is that, regardless of the current need to do so, it seems to me these decisions are still a reflection of the direction Xbox had previously taken. Sure, Phil Spencer is no longer at the helm, but folks like Matt Booty are still present who oversaw previous operations.

To make matters worse, more are still to come, with discussions ongoing amongst a group of studios at Xbox. Ninja Theory, Double Fine, and more are all under the strain of potential closure or layoffs within their walls. We previously heard that Ninja Theory is completely done, with Senua’s reveal being a last-ditch effort to give the studio a fighting chance to be purchased.

Regardless, here’s to hoping the future of these studios is met with a gentle hand, one that will guide them into the light rather than shuttering them forever.

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I know that Turtle Beach’s VelocityOne racing wheels are great on Xbox — so these Prime Day prices feel like stealing

Amazon Prime Day is here, and like always, we have some of the best deals out there highlighted for you. To add a little flair to it, I am someone who very rarely posts about deals. It’s not my jam, but when I do, you can bet it’s about something I think is a real deal!

Introducing the Turtle Beach Velocity One Racing Wheel and Pedal System. One of the best setups I’ve laid my hands on and reviewed in 2024 is now on sale for an absolutely crazy price. Not only that, but its sister system is also on sale, the Turtle Beach VelocityOne Race KD3.

Originally priced at $650, the VelocityOne Race Wheel & Pedal System is now just $399, an absolute steal when compared to plug-and-play systems like the Logitech G923. Then, the KD3 wheel, which starts at an even lower original price of $449, is at a crushingly low price of $237!

The VelocityOne KD3 Wheel and Pedal system is a perfect mid-range entry point for racing fans on Xbox.

Windows Central review: ⭐⭐⭐½View Deal

A premium racing wheel setup that delivers a fantastic drive-system alongside a slew of bonus features that will leave newcomers and people looking to upgrade extremely satisfied.

Windows Central review: ⭐⭐⭐⭐

👀ALSO at Best Buy for $249.99View Deal

These deals are absolutely crazy

VelocityOne Wheel screenshots

This thing is a tiny little beast of a base! (Image credit: Windows Central)

These are insane deals coming from my favorite new racing wheel creator, Turtle Beach. It still feels weird seeing them make something that isn’t a headset, but it's always amazing to see new entrants into the simulation space.

While I didn’t entirely recommend the VelocityOne system at the $650 price point, I can say without a shadow of a doubt that $399 would make this a ten out of ten deal. You'll get a 7.2nm base with a side control unit that delivers over a dozen different buttons and switches. Alongside a triple-pedal setup, perfect for manual/clutch racers.

Then, there's the $237 for the KD3 system, which is even more shocking. Completely undercutting the half-decade-old Logitech G923, which is also on sale, it’s $25 less than its main competitor!

With a slimmer look and a slightly reduced feedback system, the KD3 wheel and base are phenomenal for the price. With two pedals rather than three, those looking to skip the clutch and have a more realistic, but still casual racing experience will absolutely love this setup.

Whether you’re looking for a cheaper, higher-end setup or something cheaper than the old price of the Xbox Series S, look no further than the Turtle Beach Racing Wheel family. And while you’re at it, pick up Forza Horizon 6 too, you’ll thank me later!

What is the main difference between these two devices?

Turtle Beach - VelocityOne Race Wheel & Pedal System comes with a Control Unit and third pedal, alongside a stronger force feedback wheelbase. Meaning, you'll feel more of the car.

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