Following the layoffs, an internal email at Bethesda about the future of the company reached IGN. The focus appears to be on rapidly increasing the pace of the production of its star franchises, mainly Elder Scrolls and Fallout. IGN also speculates that Obsidian and id Software may be pushed towards supporting the release of games in those franchises.
Following that IGN story from yesterday suggesting that Obsidian may be supporting Bethesda in development of Elder Scrolls and Fallout now, Jason Schreier has now reported that Obsidian's other projects have been cancelled, and they are now working on a Fallout game.
