“A new, purpose-built team” under Activision is beginning development on the next Halo game as Halo Studios will undergo layoffs, Microsoft announced today.
A total of “268 roles across Halo Studios, other first-party studios, and the XGS management and central functions layer” are being eliminated today in the latest round of layoffs as part of Xbox CEO Asha Sharma and CCO Matt Booty’s “reset” of the company.
“The actions completed since July, inclusive of the studio divestitures, bring us roughly three-quarters of the way through previously announced restructuring,” Booty said in a statement today. “I am deeply grateful for what our colleagues have built, and I know how difficult today will be for those leaving and the teams around them.”
This is part of a massive reorganization of a number of Xbox studios, and Booty said “the goal is to strengthen our franchises and games by operating fewer business units, aligning groups that already work closely together, and focusing our publishing expertise.”
As part of the ongoing restructuring, World’s Edge and Rare are also going under the Activision banner alongside a newly built team “that is separate from ongoing development and plans for Call of Duty” working on the new Halo. The consolidation continues as Bethesda will now include Obsidian, King will include Microsoft Casual Games, and Playground and Turn 10 will “come together as one studio focused on the Forza and Fable franchises.”
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Unfortunately, Microsoft has not been able to find a buyer for Hellblade dev Ninja Theory, and the studio will most likely be closed. “Consultation” with Blade and Dishonored studio Arkane “remains underway and is expected to continue through the end of the year.” Meanwhile, those remaining behind at Halo Studios will be “a small team” that “will continue supporting the Halo community and games in-market.”
“Today, our focus should be on supporting those affected and treating one another with care and respect,” Booty said. “I will spend time with our studios over the next week. At our October 6 town hall, we will come together as an ALL-XBOX team to reflect on our progress and look ahead to one of the strongest game lineups in our history.”
