Xbox Cancels Contraband Shooter From Just Cause 3 Devs

Xbox console exclusive Contraband was first revealed back in 2021 and has been MIA ever since. The co-op heist shooter from the makers of Just Cause has now officially been canceled, as first reported by Bloomberg. It’s the latest Xbox-backed project to land on the chopping block amid recent mass layoffs across Microsoft’s gaming division.

“Over the past several years, Avalanche Studios Group and Xbox Game Studios Publishing have collaborated on Contraband,” the studio confirmed in a statement on social media. “Active development has stopped while we evaluate the project’s future. We’re thankful for the excitement we’ve seen from the community since we announced and well give an update on what’s next as soon as we can.”

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Dive into the open world of Contraband solo or with friends: https://t.co/e7ndNT9M3B | #XboxBethesda pic.twitter.com/0RUXreFxts

— Xbox (@Xbox) June 13, 2021

The game was first shown at Xbox’s 2021 summer showcase, just six months after the new Xbox Series X/S launched. It was positioned as one of a number of “next-gen” exclusives that would make the console an appealing platform to invest in. “To fully deliver on our vision for Contraband, we have an amazing team at Avalanche Studios that are pushing the boundaries with the next generation of our Apex Engine, the technology behind all our games, including the Just Cause series,” Avalanche Studios game director Omar Shakir wrote at the time. “We built the engine to unlock the creativity of our developers and we’re excited to take full advantage of the unique capabilities of Xbox Series X|S.”

But Contraband never resurfaced, continually raising questions about whether it was in development hell or still slated to eventually arrive at some point. Shakir left Avalanche after over a decade in 2023 to join Rockstar Games. A studio job posting in June for a Project Lead on Contraband suggested the game was very much still in production up until recently. It’s not yet clear why Microsoft decided to ultimately cancel the game.

“We have made the decision to stop development of Perfect Dark and Everwild as well as wind down several unannounced projects across our portfolio,” head of Xbox Game Studios, Matt Booty, wrote in a letter to staff during the last round of Microsoft layoffs in July. “As part of this, we are closing one of our studios, The Initiative. These decisions, along with other changes across our teams, reflect a broader effort to adjust priorities and focus resources to set up our teams for greater success within a changing industry landscape.”