Tango Gameworks, one of the casualties of Microsoft’s recent purge that also led to the loss of Arkane Austin, the creators of the woke spectacle “Redfall” has found new life after being acquired by South Korean publisher KRAFTON, best known for PUBG Battlegrounds.
This acquisition also includes the Hi-Fi Rush IP.
The 2023 release of Hi-Fi Rush was a surprising success for Microsoft, at least critically. The game appeared out of nowhere, announced and released simultaneously with no marketing or hype buildup despite being an “exclusive” title.
While it received positive reviews it unsurprisingly suffered from poor sales.
Hi-Fi Rush was released as a day-one title on Microsoft’s XBOX Game Pass subscription service, which has a reputation for hindering the financial success of single-player games.
The payouts for games on the service are largely based on factors like total player count and sustained engagement, making it difficult for a small indie title like Hi-Fi Rush to thrive as a live service game. Despite its strong reception, the disappointing sales led to Microsoft’s decision to shut down the studio in early May.
In a last-ditch effort to boost sales before Microsoft shut down Tango Gameworks, the game was ported to Sony’s PlayStation 5, a surprising move given the rivalry between the two companies, both known for aggressively promoting their so-called “exclusives.”
However, the underwhelming performance of the PlayStation 5 didn’t generate enough revenue to keep the small Japanese studio afloat. The outcome might have been different if the game had been ported to the Nintendo Switch, which has a much larger user base than both Sony’s PS5 and Microsoft’s XBOX Series consoles combined.
Just days after closing the studio, the head of XBOX effectively added insult to injury by stating that the brand needs “more small games that bring prestige and awards” which was exactly what Hi-Fi Rush achieved.
Unfortunately, Microsoft’s failure to properly market the game and its decision to release it as a day-one title on their struggling subscription service led to its significant failure financially.
The studio has been saved, with former employees rehired, as Tango Gameworks is now under KRAFTON’s ownership. In a press release, KRAFTON announced that they are collaborating with XBOX and ZeniMax to ensure a smooth transition, which includes the Hi-Fi Rush IP.
However, there has been no confirmation on whether the acquisition also covers The Evil Within and Ghostwire: Tokyo.
Given KRAFTON’s silence on these franchises, it’s certain that The Evil Within and Ghostwire: Tokyo were not part of the deal. The ownership of Hi-Fi Rush as an IP might follow a similar pattern to Sunset Overdrive and Insomniac Games.
Sunset Overdrive, developed by Insomniac and published by Microsoft in 2014, remains a Microsoft title even after Insomniac was acquired by Sony’s PlayStation division in 2019. The game is still available on Microsoft’s Game Pass, and it’s probable that Microsoft has secured a similar arrangement with KRAFTON, allowing them to continue profiting from the release of Hi-Fi Rush while any future titles would benefit only KRAFTON.
The survival of Tango Gameworks and the Hi-Fi Rush IP suggests that fans can likely expect a direct sequel at some point in the future.
Additionally, this raises the possibility of Hi-Fi Rush being released on the Nintendo Switch, by far the most popular game console platform in a decade. However, such a release might be postponed until the launch of Nintendo’s next-generation handheld console.