Tango Gameworks

Tango Gameworks is a Japanese video game developer founded in Tokyo in 2010 by Shinji Mikami, the creator of Resident Evil. The studio was acquired by ZeniMax Media shortly after founding and became part of Xbox Game Studios when Microsoft acquired ZeniMax in 2021. Microsoft closed Tango Gameworks in May 2024 despite Hi-Fi Rush winning multiple awards and being praised as one of the best games of 2023, a decision that drew significant industry criticism. Krafton, the South Korean publisher behind PUBG, acquired the studio and its IP in June 2024, and Tango Gameworks continues to operate under that ownership.

Shinji Mikami and The Evil Within

Shinji Mikami founded Tango Gameworks after leaving Capcom, where he had created Resident Evil and directed Resident Evil 4. His first project at the new studio was The Evil Within, released in October 2014 and published by Bethesda Softworks. A third-person survival horror game following detective Sebastian Castellanos into a nightmarish world accessed through a mysterious device, it received mixed to positive reviews. Mikami described it as a return to pure survival horror after years of the genre drifting toward action. The Evil Within 2 followed in October 2017 under director John Johanas rather than Mikami, receiving stronger reviews than its predecessor for its more open structure and emotional story.

Ghostwire: Tokyo

Ghostwire: Tokyo released in March 2022, developed after Mikami stepped back from directing to a producer role with Kenji Kimura directing. An action-adventure game set in a Tokyo emptied of its human population by a supernatural event, it cast the player as a man who absorbed the powers of a spirit to fight folkloric enemies using elemental hand gestures. It received positive reviews for its world-building and atmosphere. Mikami departed Tango Gameworks in 2023, leaving the studio he founded.

Hi-Fi Rush

Hi-Fi Rush released without prior announcement on January 25, 2023, a shadow drop that immediately became one of the year’s most discussed releases. A cel-shaded rhythm action game where every element of the world and combat synced to the beat of the soundtrack, it was directed by John Johanas and featured a licensed soundtrack including Nine Inch Nails, The Joy Formidable, and others. It received near-universal critical acclaim, won multiple awards including Xbox Game of the Year at the Golden Joystick Awards, and was described as one of the most purely joyful games in years. It sold over three million copies.

Microsoft Closure and Krafton Acquisition

In May 2024, Microsoft announced the closure of Tango Gameworks alongside Arkane Austin, Alpha Dog Games, and Compulsion Games as part of broader Xbox restructuring. The decision was widely criticized given Hi-Fi Rush’s commercial and critical success, with many in the industry pointing to it as an example of poor decision-making about what constitutes a successful game in the Game Pass era. Microsoft’s Matt Booty acknowledged Hi-Fi Rush had performed well but framed the closures as a portfolio realignment. Krafton announced the acquisition of Tango Gameworks and the Hi-Fi Rush IP in June 2024, preserving the studio and its team. A Hi-Fi Rush sequel is expected under Krafton’s ownership.