And if Rumours are true, then that one high quality studio they bought is going to end up making no new IPs and doing more Forza and Fable.
The issue with these studios is that on the face of things they are minor purchases. Ninja Theory is a hit and miss company, I know many are loving their recent title Hellblade but their next one could be very average. Undead Labs, a small indie studio who make one of the least polished franchises in State of Decay.
If Microsoft truly invest in these newly bought companies then who knows, Undead Labs with more bodies and funding could produce a quality AAA State of Decay MMO like they always envisioned the game to be, for example.
They have given up this gen. Hence the statement about next-gen hardware already deep in development.
Yeah having Playground stuck on Forza and Fable will suck. I love Horizon but eventually I want Guerrilla to move onto another a new I.P. Ninja Theory will definitely produce a new I.P but I am not sure Playground will do so for a while.