Xbox has eliminated 268 roles across Halo Studios, other first-party teams, and its management and central-functions layer. An internal message published by Xbox Wire also set out a broad studio reorganization that changes who oversees Halo, Rare, World’s Edge, Obsidian and Microsoft Casual Games.
The company says completed actions since July, including studio divestitures, put the restructuring about three-quarters of the way toward its announced plan. That description signals more work remains, even after this round of job losses.
Franchises move into larger groups
Activision’s remit now expands to Rare and World’s Edge. A new team under Activision will make the next Halo title, while a smaller Halo Studios group supports the existing community and games already in market. The new Halo team is separate from Call of Duty development.
Bethesda takes oversight of Obsidian. The studio continues its current projects, including Grounded, and is working with Bethesda Game Studios on a new Fallout project. King adds Microsoft Casual Games to its organization. Playground Games and Turn 10 will combine as one studio responsible for the Forza and Fable franchises.
Divestitures and consultations continue
Compulsion Games and Double Fine returned to management in August with their intellectual property, back catalogs and runway funding. Undead Labs has now moved under similar terms and has a new publisher for State of Decay 3, which remains planned for a day-one Game Pass release.
The outlook is less settled for Ninja Theory and Arkane. Xbox says two proposed agreements for Ninja Theory fell through, so it will consult employees on a proposed closure while looking at other options. Consultation concerning Arkane is expected to continue through the end of the year. A consultation is a process, not a completed shutdown, and the distinction affects how those studios’ status should be described.
An all-Xbox town hall is planned for October 6. The immediate facts are the 268 eliminated roles and the new reporting lines. Long-term effects on release schedules, individual projects and team identities remain unresolved until Xbox or the studios provide further details.
