# Bethesda confirms Elder Scrolls VI is priority as Fallout 5 stalls

- URL: https://talkfuse.com/story/fallout-5-in-preproduction-elder-scrolls-6-is-bethesdas-primary-development-focus-following-xbox-layoffs-studio-chief-says/
- Published: 2026-07-17T16:15:46+00:00
- Updated: 2026-07-17T22:33:50+00:00
- Original publisher: Variety
- Original article: https://variety.com/2026/gaming/news/fallout-5-elder-scrolls-6-game-updates-bethesda-todd-howard-1236814611/
- Topics: Business, Companies, Entertainment, Gaming, Software, Technology

## Key points

- Elder Scrolls VI is Bethesda's top priority; Fallout 5 stays in preproduction
- Both games use new shared Creation Engine 3 technology
- Update follows major Xbox layoffs affecting up to 3,200 jobs

## Summary

Bethesda Game Studios director Todd Howard has published a fan-facing update confirming "The Elder Scrolls VI" remains the studio's "primary development focus," with most of the team working on it, while "Fallout 5" has settled into preproduction rather than full development. The statement, issued on Friday, follows sweeping layoffs at parent company Xbox earlier this month and was framed as reassurance about Bethesda's direction amid the wider upheaval within Microsoft's gaming division.

Howard confirmed both titles are being built on Creation Engine 3, a shared platform developed since "Starfield" that allows teams to work on multiple projects simultaneously. He noted "Skyrim" has sold over 65 million copies and is still played 15 years on, acknowledging fans' long wait for its sequel while insisting development is on track. He also confirmed several Fallout projects are active, including one made with Xbox studio Obsidian Entertainment, against a backdrop in which Xbox is cutting up to 3,200 jobs (20% of its workforce), with at least 1,600 staff already laid off and 350 more lost through divested studios since the cuts were announced on 6 July.

## Coverage

- [Variety: Bethesda confirms Elder Scrolls VI is priority as Fallout 5 stalls](https://variety.com/2026/gaming/news/fallout-5-elder-scrolls-6-game-updates-bethesda-todd-howard-1236814611/)
- [The Verge: Bethesda teases Fallout 5 soon after Xbox’s mass layoffs](https://www.theverge.com/entertainment/966724/fallout-5-bethesda)

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.