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Undead Labs creates survival horror games, most notably the State of Decay series. Its work centers on developing open-world, immersive experiences where players manage resources, survive threats, and make strategic choices. The company sells games in physical and digital form and offers downloadable content (DLC) to add new missions, modes, or features, providing ongoing revenue after release. A key differentiator is its long-standing partnership with Microsoft Studios, which lends financial backing and broad distribution through Xbox and Windows platforms, helping reach a global audience. Compared with some competitors, Undead Labs combines a dedicated fan base, a strong franchise, and DLC-driven monetization with robust backing from a major publisher. The company’s goal is to deliver engaging, expansive survival horror games that push the boundaries of storytelling and gameplay while growing its global community of players.
Industries
Consumer Software
Entertainment
Gaming
Company Size
51-200
Company Stage
Acquired
Total Funding
N/A
Headquarters
Seattle, Washington
Founded
2009
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State of Decay 3 coming to PS5 in 2027 as Undead Labs unveils bigger open world and new survival features. June 8, 2026 June 8, 2026 Undead Labs has finally revealed the first gameplay footage for State of Decay 3, giving players a closer look at the next chapter in its zombie survival series. The biggest surprise from the Xbox Games Showcase 2026 was the confirmation that the game will launch on PlayStation 5 alongside Xbox platforms in 2027, marking the franchise's first appearance on Sony's console. State of Decay 3 builds on the foundation of previous games while expanding nearly every part of the experience. Undead Labs says the map is roughly four times larger than a single map from State of Decay 2, giving players more freedom to explore, gather resources, and establish safe zones across a larger post-apocalyptic world. Video Muted Players will be able to build up to three settlements while managing survivors and maintaining relationships with NPC enclaves that can become valuable allies. The game also supports a more flexible co-op experience, allowing players to split up and pursue different objectives while remaining connected within the same world. New threats and improved combat. One of the major additions is the introduction of Plague Nests, which evolve the plague system from State of Decay 2 and create a more dynamic zombie threat across the map. As players interact with the world, danger levels can change and spread to new areas. Combat also receives a significant upgrade with new melee mechanics, including quick attacks and power attacks. Weapons continue to reflect the harsh survival setting, featuring improvised tools and modified gear designed for practicality rather than style. State of Decay 3 runs on Unreal Engine 5, allowing Undead Labs to deliver a larger world with improved visuals, atmosphere, and environmental detail. Following initial alpha testing, the game remains on track for a 2027 release on Xbox Series X|S, PC, Steam, PlayStation 5, cloud platforms, and Game Pass.
State of Decay 3 alpha tests to begin in May. Registration now available. Publisher Xbox Game Studios and developer Undead Labs will begin hosting a series of alpha tests for the 2020-announced State of Decay 3, which we last saw in 2024, starting in May, the companies announced. Registration is available now via the official website. The alpha tests will feature four-player cooperative play, new base building and resource strategies, and "a whole lot of combat," according to Undead Labs' Brant Fitzgerald. "If scavenging supplies in the middle of a zombie outbreak sounds fun to you, then grab your ruck, pack some mags, and head over to our website to find more information and register for a chance to be included in the alpha," Fitzgerald said. "If you don't get contacted for this round, don't worry, we'll keep your name on the list and have plenty of other opportunities for you throughout the year." State of Decay 3 is in development for Xbox Series and PC (Steam, Microsoft Store). Watch the alpha announcement video below.
The day before the main Summer Game Fest show, Undead Labs dropped a cryptic image and unveiled a wild-looking new web page.
Undead Labs officially announced the next State of Decay at the Xbox Showcase 2024, though we've known of its existence for a while, the reveal trailer gives us a bit more to go on.
Microsoft-owned Undead Labs has released the latest update for its zombie-themed survival game State of Decay 2.
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Industries
Consumer Software
Entertainment
Gaming
Company Size
51-200
Company Stage
Acquired
Total Funding
N/A
Headquarters
Seattle, Washington
Founded
2009
Find jobs on Simplify and start your career today