UK-based creator of Fable joins Redmond giant

Microsoft Game Studios has announced the purchase of UK-based games developer Lionhead Studios, creators of the hit title Fable, for both Xbox and Windows platforms.

As a direct result of the merger, Lionhead will immediately begin creating content exclusively for the Xbox 360 and Microsoft Windows PC platforms.

The companies already have a history after working on the popular role-playing game Fable for the Xbox and Fable: The Lost Chapters for the Xbox and Windows.

The two titles have collectively sold more than two million copies worldwide, making Fable the best selling role-playing franchise on the Xbox platform, the companies said.

Shane Kim, general manager of Microsoft Game Studios, said: "[Lionhead founder] Peter Molyneux is one of the few true visionaries in our industry, and his joining us is incredibly important to the future of interactive entertainment and Microsoft Game Studios."

Lionhead joins game creators Bungie Studios, Ensemble Studios, FASA Studio and Rare at the Redmond stable.