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Xbox Shake-Up: Halo Franchise Moves to Activision
22 Sep
Summary
- Activision will develop the next Halo title with a new team.
- Around 268 Xbox employees are being laid off in the restructuring.
- Obsidian is moving to Bethesda to work on a new Fallout title.

Microsoft has announced a major reorganization within its Xbox studios, impacting several key franchises and personnel. Activision will assume responsibility for developing future Halo titles, with a dedicated new team being assembled for this purpose. The studio formerly known as 343 Industries will continue to support existing Halo games.
In addition to Halo, Activision is taking over the Sea of Thieves franchise, with developers from Rare's UK team joining Activision. The Age of Empires franchise, managed by World's Edge, will also move under Activision. This restructuring includes layoffs affecting approximately 268 Xbox employees, with Ninja Theory potentially closing.
Further changes involve Obsidian moving to Bethesda to collaborate on a new Fallout game. Turn 10 Studios and Playground Games are merging to focus on Forza Horizon and Fable. Microsoft's casual games unit will transfer from Bethesda to King. These adjustments are part of a larger plan impacting 3,200 roles by June 2027.