Lionhead closure linked to Microsoft refusing to sell Fable IP

Even though Microsoft is done with Lionhead and canceled Fable Legends, it was not willing to sell the Fable IP along with the studio.

Then there’s the embarrassment reason: Microsoft may have been unwilling to sell the IP for fear of a new Fable game appearing as a PlayStation exclusive.

Lionhead Studios is a UK studio, meaning it must operate under UK laws.