Studio behind Hi-Fi Rush rebrands — its first post since being closed down by Xbox

Hi-Fi Rush
(Image credit: Tango Gameworks Inc)

2024 was a rollercoaster year for Tango Gameworks, the developers behind the critically acclaimed Hi-Fi Rush. Despite the game's overwhelmingly positive reception from Xbox fans and the controversial decision to put Hi-Fi Rush on PlayStation 5, the studio found itself culled under a huge restructure, which led to its untimely closure in June. Given the reception of games like Hi-Fi Rush, The Evil Within and Ghostwire: Tokyo, Xbox fans were left dumbfounded over the decision.

In a surprise move, Krafton Inc.—best known as the creators of PUBG—stepped in to acquire the studio in August 2024. Along with the purchase of Tango Gameworks, Krafton negotiated the rights to Hi-Fi Rush, leaving us hopeful for the future of the rhythm based franchise.

The studio has been pretty quiet on socials since its closure in May 2024. However, on January 1, 2025, Tango Gameworks broke that silence with a fitting "New Year, New Me" style announcement. The studio announced its rebrand as Tango Gameworks Inc., aligning with the naming style of its new parent company, Krafton Inc. While the name change is small, it's symbolic of the developers new start under new leadership.

A new start

It's worth noting that Krafton Inc.'s acquisition included both Tango Gameworks and the rights to Hi-Fi Rush. This strategic purchase will allow the newly rebranded studio to continue working on the Hi-Fi Rush IP, free from Microsoft’s oversight. However, other popular franchises such as The Evil Within and Ghostwire: Tokyo were excluded from the deal and remain under Microsoft’s ownership going forward.

As of now, Tango Gameworks Inc.'s plans for 2025 remain unclear. However, reports from mid-2024 revealed that the studio had been quietly developing a sequel to Hi-Fi Rush before their closure. At the time of Krafton’s acquisition, a six-month-old build of the sequel was already in the works, for which Microsoft had turned down the proposition. Krafton’s official announcement made it clear that the acquisition aimed to "allow the talented team to continue developing the Hi-Fi Rush IP and explore future projects."

In-game screenshot of Hi-Fi RUSH.

(Image credit: Windows Central)

The closure of Tango Gameworks by Microsoft came as a shock to Xbox fans, and really the whole industry waiting to pick apart Microsoft's questionable decision making, particularly in light of Hi-Fi Rush's critical acclaim. The game’s unique blend of rhythm-based gameplay, a killer soundtrack (I mean what other game let's you fight as a cat to the sound of Nine Inch Nails?), and quirky visuals earned it critical praise and a loyal fanbase, of which I count myself among them! Adding to the bad press, Microsoft Gaming’s president made statements shortly after the closure, emphasizing the importance of “smaller games that give us prestige and awards.” These remarks were at odds with the decision to shut down a studio responsible for that type of game.

Tango Gameworks Inc. now faces the challenge of developing the game outside of Microsoft and seeing if it can replicate the success the game had under Xbox Game Pass, and doing so under Krafton’s guidance. While we anticipate more announcements about the future of Hi-Fi Rush and what other projects the team might explore, this rebrand comes as a signal that the studio are enthused about its new opportunities. With a talented team and a beloved IP in their hands, the potential for Tango Gameworks Inc. to thrive outside of Microsoft is huge and we can't wait to see how it goes.

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Jennifer Young

Jen is a News Writer for Windows Central, focused on all things gaming and Microsoft. Anything slaying monsters with magical weapons will get a thumbs up such as Dark Souls, Dragon Age, Diablo, and Monster Hunter. When not playing games, she'll be watching a horror or trash reality TV show, she hasn't decided which of those categories the Kardashians fit into. You can follow Jen on Twitter @Jenbox360 for more Diablo fangirling and general moaning about British weather. 

  • fjtorres5591
    "The closure of Tango Gameworks by Microsoft came as a shock to Xbox fans, and really the whole industry waiting to pick apart Microsoft's questionable decision making, particularly in light of Hi-Fi Rush's critical acclaim."

    "Questionable?" Maybe if you only value games by critic appeal rather than gamer appeal.

    But MS isn't run by idiots, despite the gaming media's intentional obtuseness.
    They obviously had reasons and just as obviously are politely keeping them to themselves.

    It might be the studio's burn rate. (Very likely.)
    It might have to do with the sales numbers of their recent games. (They haven't shown up on best seller lists, have they? Maybe even their Game Pass engagement numbers weren't terribly good, either?)
    Or it might've be a cultural difference between the studio and the needs of XBOX. Maybe they weren't willing to be "team players"?

    But one thing that never gets mentioned in gaming (unlike movies and TV) is the difference between critic appeal and commercial appeal. The gaming media typically acts as if *their* preferences and biases are somehow natural law and any disagreement is somebody else's failing. (The by-now obvious XBOX tax and the constant FUDing of the platform for BOX's refusal to play by old, outdated rules or to quit the console business to leave the old entrenched players unchallenged. To say nothing of the culture war catfights.)

    Out in the real world, gamers vote their wallets by *their* tastes and companies vote their operations by the results. Because at the end of the day it is all about money; how it gets spent and what it brings back. Critics sit comfortably outside the resulting give and take, ignoring inconvenient facts like an acclaimed GOTY failing to crack 2M in sales while games making north of $600M, to say nothing of billions, get deprecated.

    Gaming is a business.
    And in business it is results that determine success and survival; the results might be in acclaim, popularity, or revenue. But at the end of the day acclaim alone doesn't pay the salaries, pensions, or overhead of a studio for the years it takes to roll out a game that might not justify itself in the market of dollars or eyeballs.

    And in the case of Tango the most noticeable narrative is the one willfully ignored: MS freely let Bungie and Toys for Bob go independent for the price of existing IP but for Tango they "paid" with IP to be rid of the studio. One move is not like the others.

    Yet nobody in the gaming media bothers to wonder or report why.
    Either nobody knows (unlikely) or the true story doesn't fit the monoculture narrative of "MS is run by idiots." Just like the XBOX cloud gaming campaign gets intentionally misrepresented.

    "Pay no attention to the man behind the curtain."
    Or the publicly verified facts in an industry in transition from unsustainable practices to an unavoidable survival strategy.
    Reply