The last known project was a co-op open-world game called Contraband, developed exclusively for Xbox. According to a Bloomberg report from early August 2025, however, Microsoft pulled the plug on development.
Other than this teaser, there has been no further news about the game in the four years since its announcement:
In a official statement later only said that “active development has been halted and the future of the project is being evaluated.”
No official connection has been made between the discontinuation of Contraband and the layoffs. Furthermore, it is not known whether Avalanche is working on another game.
Avalanche Studios is part of the Danish media conglomerate Egmont Group. This also applies to the makers of Until Dawn, Supermassive Games, for example. However, there is another developer with a similar name: Avalanche Software, which belongs to Warner Bros. and is likely familiar to many as the studio behind Hogwarts Legacy.