Microsoft bought Undead Labs in 2018 and a third release of their zombie survival game should not be a surprise.
“In the case of Undead Labs, we absolutely want to go make State of Decay 3. That is a clear goal. That studio will have some other incubation, they’ll work on some things, but this is a State of Decay 3 team,” said Microsoft’s Matt Booty at the time of buying the studio.