Microsoft has officially canceled the collaborative game "Smuggling", developed by Avalanche Studios, which has not been updated in nearly four years.According to Bloomberg reporter Jason Schreier, the cancellation decision was made after Microsoft carried out a large-scale layoff, and multiple Xbox development teams were affected, resulting in the termination of multiple projects.

Originally announced at Xbox and Bethesda Game Show in 2021, Smuggling is set in the fictional world of the 1970s, Bayan, a collaborative multiplayer game that developers described as "a paradise for smugglers."The game was developed by Avalanche Studio, a developer of the "Liberal Defense" series, using its own Apex engine.

In the cancellation statement, Avalanche Studio said: "We have stopped active development of the project and are evaluating the future of Smuggling. Thanks to the community for its support since the game's announcement, we will provide the next update as soon as possible."

Despite the cancellation of "Smuggling", Microsoft has maintained its cooperation with well-known developer Hideo Kojima.According to Schreier, Hideo Kojima's new horror work "OD" is still under active development.The game partnered with Xbox Game Studios and leveraged cloud technology to create a new gaming experience.The game will explore the elements of psychological horror, focus on extreme fear testing, and write the plot by Hideo Kojima and filmmaker Jordan Peel.

"OD" will be participated by actors such as Sophia Lillis, Hunter Schafer and Udo Kier, and is expected to bring players a brand new horror gaming experience.