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March 27, 2006

Microsoft to acquire game developer Lionhead Studios?

Posted by David Hunter at 8:28 AM ET.

Rob Fahey at

Chatter at the Game Developers Conference in San Jose is strongly suggesting that Microsoft is on the verge of signing a deal to acquire British developer Lionhead, with rival bidder Ubisoft reported to be out of the running.

Well-placed sources in the development industry claim that the two companies are in the final stages of negotiation and may announce the deal within the coming days – but Lionhead founder Peter Molyneux has flatly denied claims that further job losses could happen at the studio in the wake of the acquisition.

The latter is in reference to the fact that Lionhead hasn’t been doing too well lately. There are more details by following the link, but Microsoft was the publisher of Lionhead’s only hit game console title, Fable.

Filed under Acquisitions, Microsoft, PC Games, Xbox

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One Response to “Microsoft to acquire game developer Lionhead Studios?”

  1. Microsoft Game Studios acquires Lionhead -- Microsoft News Tracker Says:

    [...] As rumored last week, Microsoft today acquired game developer Lionhead Studios: Microsoft Game Studios (MGS) today announced it has purchased U.K.-based Lionhead Studios, one of the world’s leading and most innovative video game developers and creators of “Fable®,” the hit Xbox® and Windows® franchise. [...]

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