Undead Labs owns the State of Decay IP and its back catalogue, and wants State of Decay 3 to receive substantial support after launch. Studio head Philip Holt has outlined what the team’s independence means for the series, while keeping its new publisher under wraps a little longer.
Speaking to SabiansLastWatch in an interview published on 4 November, Holt confirmed that the studio’s buyout included everything Undead Labs has created. The interview was highlighted by Idle Sloth on X, but these details come directly from Holt rather than an anonymous tip. The zombies can keep their secrets; the ownership paperwork is rather clearer.
Undead Labs owns State of Decay and its back catalogue
Asked whether Microsoft retained rights to the series, Holt explained: “We acquired the studio and the business of Undead Labs, which means that we own the intellectual property of State of Decay.” He added that this includes State of Decay 3 and the back catalogue.
This is not a fresh announcement that the developer is leaving Xbox. Xbox officially confirmed the transition on 22 September. Matt Booty’s update said Undead Labs had moved on terms similar to studios returning to management with their IP, back catalogues and runway funding. It also confirmed that State of Decay 3 would launch day one on Game Pass with a new publisher.
Holt credited Microsoft for helping the management buyout happen, saying: “A lot of credit to Microsoft for seeing this through.” He described the relationship as good both before and after the studio’s exit.
The new publisher announcement is coming “soon”
The publishing partner already exists; its identity is what remains unannounced. Holt said the reveal would come “soon”, explaining that the studio wants to discuss more than a company name when it makes that announcement.
According to Holt, changing publishers means giving the new partner time to get up to speed and build a launch campaign. There was no specific announcement date in the interview, so “soon” is not a countdown worth setting your watch by.
Long-term support is the plan, not a blank cheque
Holt said the plan for State of Decay 3 includes “pretty robust live support”, drawing on the approach taken with State of Decay 2. However, he was explicit that the duration and volume of updates will depend on the game’s financial performance.
“Our intent is to support State of Decay 3 for as long as we can afford to,” he said. That is an ambition to keep improving the game, not a promise of a fixed number of updates or guaranteed years of free content.
Asked about paid DLC, Holt did not announce a decision. He said the team has not disclosed whether ongoing support will have a paid element, and would need to explain what would be monetised and what would remain free if it takes that route.
For Xbox players, the firm point remains that day-one Game Pass release confirmed by Xbox. The publisher’s name, a precise launch date and the full post-launch business model are still details to wait for, rather than gaps to fill with guesswork.
For more on the game, see our State of Decay 3: Everything We Know.



