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Is Marvel’s Blade Cancelled? Everything We Know About the Xbox Reports

Techloy July 1, 2026
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Microsoft's gaming division is facing another wave of uncertainty, and one of Xbox's biggest upcoming exclusives may be caught in the middle.

According to multiple reports, Marvel’s Blade is at risk of cancellation as Microsoft weighs sweeping cost-cutting measures across Xbox. The reports also claim Arkane Lyon, the award-winning studio behind Dishonored and Deathloop, could be sold or shut down if the company cannot find a buyer.

If accurate, the move would represent one of the biggest casualties of Xbox's ongoing restructuring and raise fresh questions about the company's long-term plans for its growing portfolio of game studios.

Why Is Marvel's Blade Reportedly at Risk?

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