Development on Contraband has officially ended, with confirmation that the upcoming Xbox Series X game has been cancelled coming our way in August 2025. First announced back in 2021 with a brief teaser trailer, Contraband was set to be a co-op heist adventure that was being brought to life on the next generation Apex engine.
It was set to come to us from Just Cause, Mad Max, and Rage 2 developer Avalanche Studios among the Xbox Game Studios list of projects, and was going to bring us to a fictional world known as Bayan in the 1970s. Unfortunately, like some other big new games that were slated to arrive in the future, Contraband was among several projects affected by layoffs at Xbox, with reports that Everwild and the Perfect Dark reboot have also been cancelled.
Following its initial reveal, we hadn't had anything in the way of a major update on the project until news of its cancellation, but we did gain some insight into the kind of experience it was aspiring to bring us. For an overview on Contraband's development and direction, read on below.
Contraband cancellation
Developer Avalanche confirmed Contraband's cancellation on August 7, 2025, with a statement from the studio:
"Over the past several years, Avalanche Studios Group and Xbox Game Studios Publishing have collaborated on Contraband," the developer said. "Active development has now stopped while we evaluate the project's future. We're thankful for the excitement we've seen from the community since we announced and will give an update on what's next as soon as we can."
Unlike most of the games shown during Microsoft’s star-studded E3 2021 conference, the mysterious Contraband was given no release date whatsoever when it was first revealed, and after years of radio silence, we got confirmation of the end of development on the project.
Originally set to be a day-one entrant into the Xbox Game Pass list, the cancellation news came after a mass layoffs at Xbox, which has effected over 9,000 people across different development teams.
Contraband trailer
The debut Contraband trailer was shown during the Xbox and Bethesda E3 2021 showcase. The teaser was designed to set the mood of this upcoming co-op game from Avalanche, and give us a hint towards the setting and characters, but we never did get to see anything in shape of gameplay.
Contraband gameplay
Avalanche Studios didn't reveal any Contraband gameplay to the public following its initial reveal, ubt we did get some details about the direction it was headed in. For starters, Contraband was set to be a co-op adventure that was originally being built on the "next generation of the Apex Engine" – which is the technology which helped power the Just Cause games.
Contraband game director Omar Shakir has teased that the game was set to be a "co-op smuggler's paradise", and the "most ambitious and spectacular game" from the studio to date.
Shakir also said that Avalanche was "taking everything we've learned from 18 years of being at the forefront of creating beautiful, vast open game worlds filled with stunning vistas and incredible gameplay moments." We can't help but wonder what a new open world, co-operative Just Cause might have looked like, because that exactly what Contraband sounded like.
Contraband setting, and characters
Contraband was set in the 1970s, with the open-world co-op adventure exploring the fictional world of Bayan – a smuggler's paradise.
In the cryptic CG teaser, we got a glimpse of a map that details your squad's heist plans, and what looks like a base of operations. That map refers to a rather ambitious-looking heist known as the "Sun River Job." This heist seemed to involve nabbing a fireproof safe from Khoo Private Storage and bolting it across the border in order to make a clean getaway. The map also suggested a decoy to help with the safe getaway.
Contraband development
Contraband's development started in 2021 at Avalanche Studios. The developer is best known for the Just Case series, and for games like RAGE 2 and Renegade Ops. Following the Contraband reveal, game director Omar Shakir released a statement which teased the collaboration. "Three years ago, we started talking with our partners at Xbox Game Studios about what a co-op smuggler's paradise would look like and how we could bring it to life together."
"To fully deliver on our vision for Contraband, we have an amazing team at Avalanche Studios that are pushing the boundaries with the next generation of our Apex Engine, the technology behind all our games, including the Just Cause series. We built the engine to unlock the creativity of our developers and we’re excited to take full advantage of the unique capabilities of Xbox Series X and S."
After this, we didn't get much in the way of an update on the project before it was ultimately cancelled in 2025.
While you're waiting for Contraband to release, why not return to one of the best Xbox Series X games? Or you can head over to our list of the best FPS games for more recommendations.
