Update: Xbox Squad stated in a tweet that Asobo studios has not announced a new title in the works, and that the information was a translation error.
Asobo Studio went from fairly unknown to famous almost over night after the release of Microsoft Flight Simulator, which turned out to be a success story with both gamers and media. So what is Asobo doing next? While we do not know which game they are working on - we do know they are developing it with Microsoft.
This was revealed in an interview with La Tribune (with translation from MadInfinite), where the Asobo CEO Sebastian Wloch also says that the company will support Microsoft Flight Simulator for 10 years and that 120 full time employees are still working on it, a game that already has sold over one million copies:
"We have already sold more than a million copies of Flight Simulator, and it should sell even more due to the very good feedback we received. So Asobo is doing well."
There were one million sold games on only PC when Microsoft Flight Simulator before being included with Xbox Game Pass, and while of course already being very impressive, it will likely continue to do well as the game is being fleshed out (recently with a more detailed Japan).
Asobo is also working on a third title, besides Flight Simulator and the unknown Microsoft title, with Focus Home Interactive as publisher. A reasonable guess, is that it is a sequel to last years hit A Plague Tale: Innocence.