State of Decay 3 was revealed early in its development cycle. Philip Holt, head of Undead Labs, explained that the team was concerned about Xbox’s future plans, so they decided to release a trailer first to let players know the game was in development.
State of Decay 2 launched in 2018, and players learned about the sequel just two years later. However, when State of Decay 3 was announced, the development team was still small, and production didn’t accelerate until 2022 or 2023. Currently, the new title has only entered the testing phase.
Holt said the team was unsure at the time whether Microsoft had completed its acquisition, would continue buying smaller developers, or even shift toward larger competitors. Worried that the studio might face business integration or sale before showcasing their project, they chose to publicly reveal the game in development and their vision early on.
Xbox announced a restructuring and the independence of Undead Labs, but both parties will continue to collaborate. State of Decay 3 is still planned to launch day-one on Game Pass. Holt also stated that Game Pass brings thousands of new players to the series every day.