Overview
- The studio completed a management buyout in late September using a holding company called Full Measure and will issue stock or options to employees as part of an employee‑ownership plan.
- Undead Labs confirmed a significant round of layoffs during the split and studio head Philip Holt said he was “irresponsibly transparent” with staff to prepare them for the changes.
- State of Decay 3 remains in active development and the studio says it still targets a 2027 release while opening closed beta sign‑ups on PC soon and planning a full alpha in 2027.
- A reported sale to Splash Damage fell through, and an unnamed publisher is now expected to handle release and distribution details, leaving earlier reports about a day‑one Game Pass launch unconfirmed.
- Philip Holt says investors are cautious about mid‑sized, Seattle‑based teams and that Undead Labs must shrink its cost base and manage scope to survive, which will affect hiring, timelines and funding decisions.