Microsoft referenced how they spun out Twisted Pixel in the past, as an alternative option to shuttering studios. Matt Booty, now leading Xbox's game content division, reportedly said that an agreement has now been reached between Xbox and Toys for Bob for their first game as an independent studio. However, he stopped short of describing exactly what it will be, although he did say something along the lines of, and I'm paraphrasing,
"it will be similar to games Toys for Bob has made in the past."
Toys for Bob may be independent, but the fact they told fans to
"keep their horns on" could be in reference to Spyro the Dragon, which enjoys a passionate fanbase to this day. The humorous 3D platformers that Toys for Bob is often associated with are still owned by Microsoft, but for now, have no dedicated developer. It seems entirely likely that Toys for Bob's first game out of the gate could either be within the Crash or Spyro pantheon, but it could also be something else completely, perhaps Toys for Bob's very own IP. Either way, it's incredibly encouraging to see Toys for Bob will continue to get to do their own thing, while also retaining their team and culture. Perhaps the game will show up day one on
Xbox Game Pass?