EU skips game preservation law 🏛️Xbox’s “basic misunderstanding” 🤔

Top Stories

The EU won't pursue a mandatory game preservation law (1 min read)

The European Commission declined to mandate game preservation laws, citing existing copyright and IP restrictions, but will instead develop a voluntary code of conduct with the games industry covering how developers and publishers handle game sunsetting. The decision follows the Stop Killing Games campaign, which gathered enough signatures to bring the issue before the Commission. The EC will also work with consumer organizations to raise awareness of applicable player protections, with a report due by end of 2026. (Engadget)

Business & Finance

Former PlayStation boss says Xbox shows a "basic misunderstanding" of the games industry amid leadership changes, mixed messaging, and reports of studio closures (3 min read)

Former PlayStation boss Shawn Layden criticized Xbox's recent leadership changes and studio closures as showing a "basic misunderstanding" of the games industry, citing inconsistent messaging around multiplatform publishing and exclusivity decisions. (GamesRadar)

Studios & People

Kwalee Labs shut down following launch of Luna Abyss (1 min read)

Kwalee Labs shut down its nine-person team one month after launching sci-fi shooter Luna Abyss on PC, PS5, and Xbox. The game sold 12,000 units on Steam and received strong critical reviews, but CEO Hollie Emery said the closure was "completely outside of our control.". (GamesIndustry.biz)

AI/Tech & Tools

Epic Games Uses Gen AI For Fortnite Concept Art (4 min read)

Epic Games outlined its AI-assisted concepting process for Fortnite using tools like GenMedia Bridge and Nano Banana. The tools automatically add unwanted details—extra belt buckles, skull decorations, misaligned windows—requiring manual artist fixes. Epic emphasizes continual review and quality checks before assets ship. (The Gamer)

Policy & Labor

Nintendo Is ‘Aware Of An Issue’ Involving Third-Party Hack As Group Allegedly Tries To Ransom Employee Info For $2 Million (5 min read)

Ransomware group ShadowBytes claimed to have breached Nintendo and stolen 859MB of employee data from TinyPulse, an employee feedback platform, demanding $2 million or threatening to leak the data. After Nintendo declined to pay, the group shifted demands to TinyPulse. (Kotaku)

Culture & Community

Thatgamecompany's 20-year journey from anti-Columbine school project to a celebration of Van Gogh (12 min read)

Thatgamecompany co-founder Jenova Chen reflects on the studio's 20-year journey from a USC student project (Cloud, 2005) designed as an anti-violence alternative to mainstream games, through critically acclaimed titles like Journey and Flower, to Sky: Children of Light, which now hosts a playable Van Gogh exhibition. (GamesIndustry.biz)

President of Germany to open Gamescom Congress and attend Gamescom 2026 (1 min read)

German Federal President Frank-Walter Steinmeier will attend Gamescom 2026 and open the Gamescom Congress on August 27, becoming the first German head of state to visit the event. He will deliver a keynote and participate in a panel on games' role in democracy. (GamesIndustry.biz)

gg! see you in game!

— [james](https://www.linkedin.com/in/jamesrjennings/)