Compulsion Games (South of Midnight) returns to independence and gets to keep its licenses

, by Thibaut

Compulsion Games (South of Midnight) returns to independence and gets to keep its licenses

It’s now official: several Xbox studios have become independent. Among the four developers on this list, Compulsion Games is the one that has spoken out the most extensively about this situation.

In a message posted on X, the Canadian studio stated that it has retained the licenses for Contrast, We Happy Few, and South of Midnight as it regains its independence. The announcement conveys a sense of optimism, mentioning plans to create new, unique games in the coming years.

Compulsion Games now aims to support all of its teams during this transition period. Layoffs may occur to reduce the company’s payroll, as it is no longer financially supported by Microsoft.

You probably also gonna like...

  • Compulsion Games (South of Midnight) is now fully independent

    XBOX and Compulsion Games have gone their separate ways. In early July, Microsoft officially announced its intention to part ways with several studios. This list included the developers of the excellent South of Midnight, released in 2025. The Canadian company has now finalized the process to regain…

  • Compulsion Games is now South of Midnight's sole publisher

    After regaining its independence back in early July following its withdrawal from the XBOX family, Compulsion Games is gradually getting back on track. The Canadian studio has made several changes. In fact, Compulsion Games has taken over as the publisher of South of Midnight, replacing Xbox. This change…

  • South of Midnight wins Game of the Year after being dropped by Microsoft

    Just a few days after regaining its independence, Compulsion Games won a relatively prestigious award for South of Midnight. The Canadian studio’s latest release was named “Game of the Year” at the 2026 Games for Change festival. This nonprofit organization honors “the most impactful games and immersive…