Compulsion Games creative director David Sears revealed he would not have greenlit South of Midnight himself, calling the action-adventure title an unconventional risk that only Xbox Game Studios was willing to take. The game launches April 8, 2025 on Xbox Series X/S and PC with a Southern Gothic setting, stop-motion aesthetic, and folklore-inspired combat.
Compulsion Games now appears as the publisher of South of Midnight on Steam instead of Xbox Game Studios, marking the apparent completion of the studio's independence. The change was spotted by indie developer Michael Klamerus on Bluesky, while other former Xbox studios still show Microsoft as publisher on the platform.
Just days after buying back its independence from Xbox, Compulsion Games, developer of South of Midnight and We Happy Few, is seeking new collaboration opportunities. The studio is open to supporting other projects, indicating a potential shift in its immediate focus. As the gaming industry navigates cost-cutting measures, Compulsion Games' next move is closely watched.
Discover why South of Midnight, an adventure game set in the Deep South with stunning stop-motion animation, is a hidden gem on Xbox Game Pass, despite its developer Compulsion Games facing potential closure. With a narrative driven by southern folklore and a protagonist with magical abilities, this game stands out. Its success, however, may not be enough to save its studio from Xbox's impending "Reset".
