Xbox Game StudiosRare, one of the most storied and influential developers in all gaming history, is celebrating an incredible 40 years in business in August. In an industry where even the most prolific teams are disbanded at the top of their game, it’s extra special to see Rare make it this far. On some level, Rare’s parent company, Xbox, seems to understand the occasion. The company has released a gorgeous premium theme featuring most of its iconic creations. It’s also collaborating with hardware maker 8-BitDo on a Rare-themed Xbox controller, Iam8-bit on a beautiful soundtrack box on vinyl and with Fangamer on some exclusive merch.But while these are all appropriate ways to commemorate this anniversary, it all feels more subdued than it should. The new theme and controller are undeniably nice drops for long-time fans. But it seems weird that a game company isn’t celebrating this momentous milestone with a new project on the horizon. It feels especially morbid when considering what the last few months have been like for the company and many of its sister studios. What should be a joyous occasion for fans is instead a bummer reminder that one of the stalwart creatives in gaming deserves much better.Founded in 1985 in Twycross, Leicestershire, England, Rare was one of the first developers outside of Japan to develop games for the original Nintendo Entertainment System. It made more than 60 games for the NES, including classics like RC Pro AM, Cobra Triangle, and the iconic beat-em-up Battletoads. During the SNES era, it pushed technical boundries, making timeless showcases like Donkey Kong Country. It revolutionized the first-person shooter genre by bringing it to console with 007 Goldeneye and Perfect Dark.Despite its difficulty, Battletoads is one of the most fondly remembered games of the NES era. | RareFor a company so closely tied to the early days of console gaming, it’s such a shame that Rare doesn’t exist in the same way nowadays. Instead of continuing to innovate all these years later, Rare is one of the many companies hit hard by Microsoft tightening its belt in pursuit of AI technology.In July, Rare was one of the studios hardest hit by Microsoft laying off 9,000 employees (15,000 layoffs in 2025 in total). The company cancelled Rare’s next game Everwild, a game that was in production as early as 2014. The company also cancelled Perfect Dark, a reboot based on one of Rare’s all-time best games.The pain didn’t stop there for Rare. At same week these layoffs were announced, Gregg Mayles, one of the company’s longest tenured employees, resigned after 35 years. It was an abrupt one two punch for a studio which has only released one new (and largely successful) game in Sea Of Thieves over the last decade.Sea Of Thieves is Rare’s biggest success over the last two decades. | RareMost tragically, this has been a holding pattern for the legendary studio for decades now. Before Sea of Thieves, Rare was one of the most productive developers for Xbox’s ill-fated motion sensor Kinect. The studio shipped two launch titles for the Xbox 360 in 2005, and two cult classics in Banjo Kazooie: Nuts and Bolts and Viva Pinata a few years later. But these moderate successes pailed in comparison to Microsoft’s blockbusters from the era like Gears Of War and Halo. It wouldn’t be fair to place the blame entirely on Microsoft. For all we know, it was probably the right call to cancel Everwild after 11 years in and out of development. But it can’t skirt accountability altogether. It’s clear that under the Xbox banner, a studio once considered the best in the business hasn’t been able to consistently replicate its glory days. And that’s not for a lack of trying. Banjo Kazooie: Nuts and Bolts and Viva Pinata are some of the most creative games of their generation. And Sea Of Thieves recent success on PlayStation proves the 40-year-old studio still has the ability to make magic. But there’s no denying the the Rare that was able to release games at a steady clip without issue back in the ‘80s and ‘90s isn’t the one that exists today. And there’s a case to be made that its parent company hasn’t managed one of its best studios efficently enough to get them back on the saddle.It’s why its so bittersweet to celebrate 40 years of Rare. Its incredible feat that the studio has been around this long, and we as players would be lucky to have them around for another 40 years. But it feels nearly impossible to celebrate that legacy without considering what it’s 40th year has been like. It’s tough to see characters like Joanne Dark lovingly referenced in a 40th anniversary theme without thinking about her recently cancelled game and the studio that closed with it. It’s tough to see Banjo and Kazooie innocently smiling as if they haven’t starred in a game since 2008. And It’s tough to put into words how understated a 40th anniversary cosmetic pirate hat in Sea Of Thieves feels.While the Xbox theme and 8-BitDo’s controller are both gorgeous send-ups of a company that has given players so much over the years, I yearn for a time where we can celebrate the developer without any of the baggage.