15 July 2025
The Fallout franchise is officially gearing up for its next major chapter.
According to insider reports, Bethesda Game Studios has “fully greenlit” Fallout 5 following the cancellation of its long-rumored MMO project, Project Blackbird.
The news comes via Xbox Two Podcast co-host Jez Corden, who revealed that after Microsoft’s recent internal restructuring, Bethesda made the strategic decision to reallocate resources from the scrapped MMO to the next mainline Fallout game.
“From what I heard,” Corden shared, “it was a case of ‘Do we want to sink a ton of money into getting this [Project Blackbird] to a point … or do we want to allocate that investment towards making Fallout 5?’”
Why the Shift?
Project Blackbird — a looter-shooter MMO with vertical movement mechanics, reportedly in the vein of Destiny — had been in development since 2018 at ZeniMax Online Studios, using a custom-built engine and a 300-person team. Though it was allegedly well-received by Xbox leadership earlier this year, it ultimately fell victim to Microsoft’s sweeping layoffs, which impacted more than 9,000 employees across multiple Xbox studios in July.
Bethesda leadership reportedly saw Fallout 5 as a safer, more commercially viable bet in today’s volatile gaming market — especially in light of the franchise’s massive resurgence following the Fallout TV series’ success and renewed player interest in Fallout 76.
Who’s Developing Fallout 5?
That remains unclear.
Corden noted that Bethesda Game Studios’ core team is still focused on DLC support for Starfield and early development on The Elder Scrolls VI. This suggests Fallout 5 may still be in early planning or pre-production, and could be handed off to another Bethesda-affiliated team or supported by an external studio under Xbox Game Studios’ umbrella.
This wouldn’t be unprecedented — Fallout: New Vegas was developed by Obsidian Entertainment, and fans have long hoped for a similar collaboration in the future.
No Release Date Yet, But Hype is Building
While Fallout 5 is unlikely to launch for several more years, this green light is the most significant update on the game since Bethesda’s brief mention of it during the 2022 Starfield reveal cycle.
For now, fans can look forward to more content in the Fallout universe and revisit the Wasteland with the knowledge that the next big adventure is officially on the way.
Stay tuned — war never changes, but Fallout 5 just might.
