One of the big new Xbox exclusives has just been delayed by Microsoft.

In a surprise and rather unwelcome announcement, Microsoft has delayed Fable until 2026.

With one of its biggest exclusives delayed until next year, Microsoft may lose even more ground to Sony when it comes to PS5 and Xbox Series console sales in 2025.

There are even reports that Fable will no longer be an Xbox exclusive when it launches in 2026.

Indeed, according to industry insider NateTheHate, the delayed release date could lead to Fable launching for Xbox, PC and PS5 on the same day.

"Speculation is in regards to the nature of the delay," reads a ResetEra post. "But Fable coming to PS5 in the year after it launched on Xbox/PC is not speculation.

"Keep in mind that timeline was based on when Fable was slated for 2025 on Xbox/PC. With Fable now delayed to 2026... it stands to reason that it arriving on PS5/Xbox/PC on the same day is within the realm of possibility."

With Fable potentially going multiplatform on day one, and with more former Xbox exclusives getting ported to other consoles, it makes you wonder if Microsoft is waving the white flag in the console wars.

As for the Fable delay, Microsoft's Craig Duncan announced the news in a recent podcast.

Speaking about Fable, Duncan said: "So, I just want to start with really excited, really excited about progress, really excited where Playground are.

"We previously announced the date for Fable as 2025, we are actually going to give Fable more time and it's going to ship in 2026 now.

"While I know that's not maybe the news people want to hear, what I want to assure people of is that it's definitely worth the wait."

The news was accompanied by new footage of the game, which you can check out in the video above.

The pre-Alpha gameplay doesn't look too bad, especially the horseback riding and countryside.

We're still not convinced by the lead character, the stiff animations and the combat system, but at least you can still kick chickens!