Every time Obsidian Entertainment announces a new game, the comment section fills with the same question: when’s Fallout: New Vegas 2 coming? The studio knows this happens. They’ve acknowledged it, accepted it, and basically said not to hold your breath. In a recent interview with The Game Business, Obsidian’s VP of Operations Marcus Morgan and VP of Production Justin Britch explained why New Vegas 2 isn’t happening, and honestly, their reasoning is pretty compelling if you understand Obsidian’s journey as a studio.
The New Vegas Question That Never Goes Away
Fallout: New Vegas came out in 2010 and immediately became a fan favorite. Obsidian took Bethesda’s post-apocalyptic playground and created something special with better writing, more nuanced factions, and consequences that actually felt like they mattered. Since then, New Vegas has become legendary in gaming circles, attracting a dedicated fanbase that never stopped asking for a sequel.
The thing is, Obsidian didn’t own New Vegas. Bethesda did. Obsidian was hired by Bethesda to make a game in the Fallout universe, and they delivered brilliantly. But that meant they couldn’t just decide to make New Vegas 2 on their own. Any sequel would require approval and involvement from Bethesda and Microsoft, the parent company that now owns both studios.
Marcus Morgan explained the frustration of this situation: “I know everyone on the internet, on every game we ever announce, will constantly reference back to, when’s the next New Vegas? When’s the next whatever?” That’s not an exaggeration. It happens reliably, repeatedly, and enthusiastically every single time Obsidian so much as hints at an announcement.
Obsidian’s Journey From Work-For-Hire to Creative Freedom
To understand why Obsidian isn’t making New Vegas 2, you need to understand what the studio was doing before Microsoft acquired it in 2018. Obsidian spent years making games based on other people’s intellectual property. They made KOTOR 2, Neverwinter Nights 2, Dungeon Siege 3, South Park: The Stick of Truth, and yes, Fallout: New Vegas. These are all excellent games that showcased Obsidian’s writing and design talents, but they all belonged to someone else.
After Microsoft purchased Obsidian, the company suddenly had the resources and freedom to make games based on IP they actually owned. And that changed everything about how the studio approaches game development. Instead of being work-for-hire contractors, they became creators with ownership stakes in their own franchises.
According to Justin Britch and Marcus Morgan, this shift has been transformative. Morgan said: “Our history prior to Microsoft surrounded working on others’ IP. And this is the joy that we get of, ‘How do we start to define our own, do we build our own IP?’ And we’ve gotten to the point where we have sequels to all of them. All of them are IP we’ve created.”
Three Original Games in One Year
To prove they’re serious about this philosophy, Obsidian released three major games in 2025, and all three are original Obsidian IP. Avowed, a fantasy RPG that launched in February, was their interpretation of what a first-person fantasy RPG could be in the modern era. The Outer Worlds 2, their sci-fi follow-up to the 2019 original, landed later in the year. And Grounded 2, their backyard survival adventure game, launched in early access.
Think about that for a second. Most studios struggle to ship one major game in a year. Obsidian shipped three, and every single one was something they created themselves. They own these worlds, these stories, these characters. They get to decide what happens next, not get permission from another company.
That’s genuinely revolutionary for a studio that spent the previous two decades making games for other publishers. The control, the creative ownership, the ability to build sequels and expand universes they created themselves – that’s what they’re excited about now.
Why New Vegas 2 Probably Won’t Happen
Could Obsidian theoretically make Fallout: New Vegas 2? Technically yes, but there are real obstacles in the way. First, Bethesda and Microsoft would need to greenlight it, which means they’d have to believe it’s a better use of resources than whatever else they’re working on. Second, Obsidian would presumably need to want to make it, and based on their recent statements, they’re more interested in pushing their own IP forward.
There’s also the timing issue. Fallout 5 is undoubtedly in Bethesda’s long-term plans, and they might want Obsidian to develop that instead of a New Vegas sequel. Bethesda might see more value in having Obsidian work on Fallout’s main series rather than a spinoff set in the Mojave Wasteland.
But here’s the thing that makes a New Vegas 2 unlikely: Obsidian is genuinely having more fun making their own stuff. They can take risks with their own IP that they couldn’t take working under someone else’s franchise guidelines. They can experiment, fail, learn, and iterate without answering to corporate overlords. That creative freedom is intoxicating after decades of being told “make this game but in our universe.”
The Outer Worlds as a New Vegas Substitute
If you’re desperate for the kind of game Obsidian excels at making, The Outer Worlds series is probably your best bet. According to Morgan, there are definitely “New Vegas-y vibes” in what they’re doing with The Outer Worlds, particularly in how they approach writing and faction systems. The difference is that Obsidian now owns The Outer Worlds and gets to decide its direction without needing approval from another company.
Morgan also noted that the studio “doesn’t worry as much about breadth as it does about depth,” which is another shift from the old days. New Vegas was about exploring a massive world with countless possibilities. The Outer Worlds series is more focused on crafting deep, meaningful experiences even if the scope is smaller. Different approaches, both valid, but representing how Obsidian’s philosophy has evolved.
The Pillars of Eternity Surprise
As if to underscore their commitment to their own IP, Obsidian just announced that Pillars of Eternity is getting a turn-based mode beta starting November 5, 2025. Pillars of Eternity was a Kickstarter success that launched in 2014. The studio has been supporting it for over a decade, and now they’re adding a major feature that fans have been requesting. This is the kind of long-term franchise support that makes sense when you own the IP outright.
The Bigger Picture for Microsoft
It’s worth noting that Microsoft seems supportive of Obsidian’s direction here. The company didn’t acquire Obsidian just to make them into another work-for-hire studio. They wanted to develop a powerhouse RPG team that could create original worlds and tell stories that only Obsidian could tell. Three major releases in 2025, all original IP, suggests Microsoft is very happy with that strategy.
If anything, Microsoft might actually be protecting Obsidian from being pressured to make New Vegas 2. They know that Obsidian’s value lies in their ability to create original content, not in their willingness to revisit old licenses indefinitely. New Vegas 2 would be a massive commercial success, sure, but it would also represent a step backward in Obsidian’s evolution as a creative studio.
FAQs
Why doesn’t Obsidian make Fallout: New Vegas 2?
Obsidian doesn’t own Fallout. Bethesda does. While Microsoft owns both companies now, Obsidian is more focused on creating and expanding its own original IP franchises rather than working on licensed properties. Additionally, the studio is genuinely enjoying the creative freedom that comes with owning their own games.
Did Obsidian create the original Fallout: New Vegas?
Yes, Obsidian Entertainment developed Fallout: New Vegas in 2010 under contract from Bethesda. The game was critically acclaimed and developed a devoted fanbase, but Obsidian didn’t own the IP. They were hired contractors, not the creators.
What did Obsidian release in 2025?
Obsidian released three major games in 2025: Avowed (fantasy RPG), The Outer Worlds 2 (sci-fi RPG), and Grounded 2 (survival adventure). All three are original Obsidian intellectual property that the studio owns and controls.
Could Microsoft force Obsidian to make New Vegas 2?
Technically Microsoft could, but they don’t appear interested in doing so. The company acquired Obsidian to develop original content and build franchises, not to lock them into making sequels to existing franchises. Obsidian’s leadership suggests they’re enthusiastic about their current direction.
Is there any chance of New Vegas 2 happening?
It’s possible but unlikely in the near future. It would require both Bethesda and Obsidian to want to make it, which neither party seems particularly eager about right now. Obsidian would rather focus on building their own franchises, and Bethesda might have other plans for their Fallout license.
What does Obsidian do with Fallout now?
Obsidian doesn’t currently work on Fallout games. The franchise is handled by Bethesda Game Studios. Obsidian moved on to creating their own original IP, though theoretically Microsoft could assign them to Fallout work in the future.
Should I play The Outer Worlds if I loved New Vegas?
Probably yes. The Outer Worlds series shares a similar DNA with New Vegas in terms of writing quality, faction systems, and player choice. While it’s a different game set in a different universe, it represents the kind of RPG experiences Obsidian excels at creating.
Who said Obsidian prefers making original IP?
Obsidian’s VP of Operations Marcus Morgan and VP of Production Justin Britch discussed this philosophy in an interview with The Game Business in November 2025. They explicitly stated the joy they find in building and defining their own IP versus working on other people’s franchises.
What happened to Obsidian before Microsoft acquired it?
Before Microsoft bought Obsidian in 2018, the studio spent decades as a work-for-hire contractor making games based on other companies’ intellectual property, including KOTOR 2, Neverwinter Nights 2, and the beloved Fallout: New Vegas. Microsoft gave them the resources to finally create their own content.
Conclusion
Fallout: New Vegas 2 isn’t happening, and honestly, that’s probably the right call. Obsidian spent decades proving they could make amazing games based on other people’s franchises. Now they’re in a position to prove they can build their own legendary franchises from scratch. Three releases in 2025, all original IP, shows they’re deadly serious about that mission. New Vegas was great, but what Obsidian is building now has the potential to be even greater because it’s theirs to control, shape, and expand as they see fit. Fans will never stop asking for New Vegas 2, but Obsidian has moved on to something more meaningful – creating universes that will be known as distinctly Obsidian creations, not adaptations of someone else’s IP. That’s a profound shift in identity for a studio, and they’re clearly excited about it.