Call of Duty Studio Sledgehammer Reportedly Worked on Canned Halo Multiplayer Prototype

A new report indicates that Call of Duty developer Sledgehammer Games worked on a prototype for a Halo multiplayer game before Xbox ultimately decided not to move forward with the project.

Call of Duty studio Sledgehammer Games reportedly worked on a Halo multiplayer prototype before the project was canned, according to a report. Sledgehammer, known for developing titles such as Call of Duty: WW2, Vanguard, and Modern Warfare 3, was allegedly sought out to develop a Halo multiplayer game. The project never progressed past the prototype stage, remaining in an early blockout phase that featured only basic gameplay mechanics.

The report originates from a video by YouTuber Rebs Gaming, following up on speculation from Windows Central's Jez Corden regarding Xbox potentially having Activision develop Halo games. According to Rebs Gaming, a source confirmed that Microsoft explored a proposition for Activision to help develop Halo projects, specifically involving Sledgehammer Games in a multiplayer title. Following testing in June, Xbox reportedly decided a month later not to move forward with the pitch prototype.

Despite the cancellation of this initial prototype, the source noted that Microsoft is still exploring propositions for Activision to develop Halo games, though nothing has been greenlit yet. Xbox completed its $68.7 billion acquisition of Activision Blizzard in 2023, bringing all Call of Duty teams under the Microsoft umbrella. While both companies have largely continued working on their separate projects since the acquisition, industry shifts and ongoing restructuring efforts—including widespread layoffs across the Xbox gaming division—suggest that potential collaborations between different internal studios remain under consideration by Microsoft.

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Sources

  1. EurogamerEstablished publication · recorded Aug 17, 2026
    Call of Duty studio Sledgehammer reportedly worked on a Halo multiplayer prototype before it got canned
  2. GameSpotEstablished publication · recorded Aug 17, 2026
    A Call Of Duty Studio Could Work On Halo, Report Says