Not Lionhead. :( There goes any hopes and dreams for a Black and White 3.

If their intention is to stay in the gaming market then cutting studios is really asinine. Alot of people think that MS is moving away from traditional consoles but I disagree.  Ms trying to make a steambox like xbox? Nope. Ms trying to just use windows 10 as a gaming platform? Nope. I believe that MS is only trying to increase consumer appeal for WIndows 10 by bringing some xbox one exclusives over. People are taking alot of what he's saying out of context and blowing it out of proportion. 

Something must have been going badly for Lionhead to be closed and Fable Legends cancelled probably in the year it would have been released. It's not like MS couldn't prop the studio up financially for several months if there was great confidence in the success of the product.

afaik the game/creation tool went full free last october and any kind of development of the title was stopped

Rare better duck and cover.

So with the closer of Lion Head how many first party studios does Microsoft? Now they just got.

343i

The Colition 

turn10

Rare

Mohjang (though they haven't an exlusive for either Windows or Xbox)

while Sony has

Naughty Dog

Gureillia Games

Sucker Punch

Media Molecule

Polyphony Digital

Evolution

plus a bunch of internal/Sony founded studios

and Nintendo has

Monolithsoft

Retro Studios

ND Cube

Intellgient systems (think?)

plus a bunch of Nintendo founded/interal studios.

this is all not counting second party like Gamefreak, Quanitc Dream, and Remendy.

This upsets me. I thoroughly enjoyed the first two Fables and I absolutely adored the first Black and White -- regardless of what people say about those games failing to live up to their promises. They were great games and this is really unfortunate. I only hope that those were laid off can get jobs in the industry soon. It would be an absolute shame to waste such talent.

Yikes. I wonder what was going on for Microsoft to even consider this. Was it Lionhead or just a direct factor from Mircosoft? Regardless, my biggest concern is that the former employees land on their feet

I know I'm about to get hate, but lionhead was turning to shit. Fable Legends has been a disaster in development, and I think its clear its gone nowhere. It was suppose to be out in 2015, but now its been months and nothing. The other Fable games have went from great to garbage, and now this was just the nail in the coffin. Not happy with this, but can't say I'm surprised

No, I dont think anybody will give you shit. Many of us had lost confidence in Lion Head. I have the Fable Legends beta, I dont get the impression MS had a hit there in its current state.

Personally I enjoyed the Fable Kinect game. I thought it was one of the best rail experiences ever.

Anniversary though disappointed me, it felt thrown together.

Fable is likely going to a different studio, maybe Rare. MS doesent need two British studios. :-p