Microsoft has announced five new game development studios joining its first-party lineup – doubling down on its commitment to top-tier games for Xbox One. Announced on stage at its E3 2018 press conference, the firm has kickstarted a new studio, while acquiring four existing teams from across the globe.

As we previously reported, "The Initiative" is a new in-house studio headed by Darrell Gallagher – former head of Crystal Dynamics and senior vice president at Activision. The new Santa Monica-based will work on "AAAA" experiences to further develop Microsoft's exclusive offerings.

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Microsoft has also acquired "Playground Games" of Forza Horizon fame, State of Decay 2's "Undead Labs," "Compulsion Games" of We Happy Few, and "Ninja Theory" behind Hellblade: Senua's Sacrifice.

This makes for Microsoft Studio's biggest commitment to delivering first-party games so far, with some significant talent backing the publisher. While it might take time for new titles from these studios to surface, it paints a promising future for its gaming efforts.