The long-starved Fallout community received good news a few months back when the next mainline entry in the post-apocalyptic franchise reportedly got “green-lit.” The reporting revealed interesting details about the project, but stopped short of confirming which studio will handle the development of Fallout 5. This uncertainty leaves the door open for speculation, and personally, I’m hoping that it’s Obsidian who steps up to the mantle.
As relayed by Corden during an episode of the Xbox Two podcast, the decision to go ahead with Fallout 5 coincided with widespread layoffs at Xbox. More specifically, it was the cancellation of Zenimax Online’s in-development MMO (Codenamed Blackbird) that prompted Microsoft to reallocate resources towards the Fallout franchise.
As Corden described, it was a case of “Do we want to sink a ton of money into getting this (Zenimax Online MMO) to a point where it can compete with the established players in the market, or do we want to allocate that investment towards making Fallout 5?”
Xbox reportedly views a new Fallout game as a safer bet than a brand-new IP, which certainly makes sense considering the series’ popularity and prestige. That being said, Fallout 76 delivered a major dent to the franchise’s reputation, while the community’s sentiment on Fallout 4 remains lukewarm at best.
This, coupled with a few other reasons, is why it would be best for Fallout 5 to be developed by Obsidian. With Bethesda being preoccupied by Elder Scrolls VI and a potential Starfield DLC, this is the perfect opportunity for the Fallout torch to be passed over to a different studio.
Bethesda’s Lack of Evolution is Concerning

To clear the air straightaway, I genuinely like Bethesda games. I’ve spent an embarrassing number of hours trekking through Skyrim’s snowy mountains, decorating shelves with painstaking precision at Home Plate, and scaredly skulking through Washington DC’s haunted metros. I have nothing but praise for their exploration-driven approach to worldbuilding and the unparalleled object physics that the Creation Engine makes possible.
However, Starfield showed us exactly how far behind Bethesda is in terms of game design and narrative framework. The studio insists on cramming an exhausting number of loading screens into its worlds — a design choice that clashes badly with their unexciting mission flow. It’s one thing to go from point A to point B in an open world as atmospheric as the Mojave Wasteland, and another to do so in the vast emptiness of space with frequent hiccups in the shape of loading screens.
Even the sci-fi settlements in Starfield feel plain in comparison to the slickly stylized cyberpunk trappings of Night City or the colorfully chaotic wildlands of Eora. This brings me to a larger point: Bethesda consistently struggles to make its cities feel compelling.
Bethesda consistently struggles to make its cities feel compelling
Take New Atlantis, for example, which the game positions as a futuristic metropolis. It’s undeniably large and is split into different districts. However, none of its locales invite exploration beyond a quick visit to their storefronts or offer instances of worldbuilding as pivotal and immediate as the nuke-worshipping Children of Atom at the heart of Megaton.

The lack of moments such as these, paired with a dire shortage of interesting POIs that instantly catch the eye, quickly strips the lustre off New Atlantis’ resplendent architecture. Add mechanical issues such as lifeless NPCs and interiors blocked by loading screens, and you are left with an uninteresting city that is best labeled as a missed opportunity.
Compare this to your first visit to Freeside, the dusty stretch of ruins just outside New Vegas’ glittering Strip. Despite its post-apocalyptic humility, Freeside is teeming with personality: the Atomic Wrangler, the School of Impersonation, the Silver Rush — to name a few major locations —all stacked into a single zone and packed with interesting NPCs.
These problems aren’t just limited to Starfield, either. Despite its issues, I hold Fallout 4 in great regard, but there isn’t a single location in the base game as alluring as New Vegas. Diamond City is cool in concept and hefty in size, but bereft of locations that spark excitement when you spot them from afar. Goodneighbor nails the personality requirement with its noir-inspired aesthetic, but it is laughably small to be considered a city. Ultimately, it meant that Fallout 4 released without a major settlement as interesting as Megaton, or dare I say it, Rivet City.
Bethesda clearly regressed on this front back in 2015 and continued to do so in 2023. There’s been a marked deterioration in player agency, choice and consequence, and immersion, all hallmarks of what used to make their RPGs special. I could go on about these elements, but since atmosphere and world design are so central to Fallout’s identity, they remain the crux of my argument (for now, at least).
And when it comes to delivering immersive worlds with meaningful choices, Obsidian continues to outperform the Maryland-based studio.
Why Obsidian Is the Perfect Fit for Fallout 5

We all know exactly how masterful Fallout: New Vegas is. The RPG earned plaudits even in its buggy, borderline unplayable state, which outlines the quality of the whole package. But instead of harping on about a 15-year-old game, which isn’t indicative of the studio’s present-day calibre, I’ll pinpoint why their latest release makes them a deserving candidate for the Fallout IP. And once again, the crux of my argument boils down to world design.
Avowed didn’t receive the warmest of receptions when it released back in February, and deservingly so. But amid its many critiques, you’re likely to find praise for its beautiful open world, anchored by a Fallout-like sense of exploration. While its segmented structure doesn’t mirror Bethesda’s sprawling, continuous worlds, it compensates with areas that feel purposeful and hand-crafted for players to visit, explore, and live in. Almost every region offers a distinct biome that manages to blend into its larger ‘nature eats civilization’ design aesthetic.
This variety extends to its POIs as well. Unlike Starfield’s copy-pasted outposts or Fallout 4’s cookie-cutter interiors, locations in Avowed feel lived-in and important. In many cases, they also have a narrative function and are linked to side quests. Whether you’re investigating a graveyard or navigating a moss-choked temple, there’s an intentionality behind each point of interest. This evokes a liberating sense of wonder — of spotting a crumbling tower in the distance and changing course just to see what lies inside — that is core to the Fallout experience.
All of this is supplemented by an atmosphere that is thick with ancient mystery and magical intrigue. From the moment you step into Paradis, you’re likely to be hypnotized by its visual flavor, packed with curling vines, decaying architecture, and untamed wilderness. You’re also receiving frequent reminders of the dangers behind its picturesque beauty, pulling off a delicate balancing act that levels awe with anxiety. This tension also happens to be a signature element of the Fallout IP, where hauntingly beautiful urban ruins are laced with post-apocalyptic dangers lurking in close proximity.
Avowed proved that Obsidian can still pull off the tonal balance, more so than Bethesda’s previous outings.
Avowed proved that Obsidian can still pull off this tonal balance, more so than Bethesda’s previous outings. The title’s quest design and writing are better than Starfield, at least in my opinion, with choices that feel more significant. The punchy dialogue can leave behind a strong impression, too. In addition to this, New Vegas showed that the studio has a better understanding of Fallout’s most sinister elements, which are carried forward through series veterans such as Josh Sawyer and Scott Everts.
Ultimately, I feel confident in saying that Obsidian is better-equipped to create a deserved Fallout 5 experience compared to Bethesda. They have a documented history with the franchise, a solid understanding of the expectations of modern-day players, and the ability to offer a genuinely compelling open world.
In contrast, Fallout’s current custodians have time and again shown a glaring lack of evolution, a reliance on outdated design philosophies, and stubbornness when it comes to parting with the Creation Engine. All of this is to say that Fallout needs rejuvenating, and Obsidian is arguably the best studio to make it happen.
Do you agree with my arguments? Or would you rather see the Fallout IP fall to a different studio? Be sure to let us know in the comments.