
Xbox cuts 268 jobs as Microsoft restructures studios
Microsoft has laid off 268 employees across Halo Studios and other teams as part of a major reorganization that reshuffles how its gaming divisions report and operate.
1 min readLatest clearly sourced MAXGG coverage about Halo Studios.

Microsoft has laid off 268 employees across Halo Studios and other teams as part of a major reorganization that reshuffles how its gaming divisions report and operate.
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Xbox's announcement that Activision will develop the next mainline Halo game, with a reduced team at Halo Studios supporting current titles, has cast doubt on a potential Halo 2 remake that was teased in Halo: Campaign Evolved.
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Microsoft pulled the plug on Halo Studios' next mainline entry due to its distant timeline. The studio faced leadership changes and technical setbacks that delayed progress, according to sources cited by The Verge. Activision now leads Halo's future under
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A Halo executive reaffirmed that Halo Fest will proceed as scheduled in Seattle on December 11–13, 2026, marking the franchise's 25th anniversary celebration. The confirmation comes after recent layoffs reduced Halo Studios to approximately 20 developers.
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Microsoft's latest round of layoffs reshapes Xbox's first-party structure, moving studios like 343 Industries and Rare to Activision while raising questions about Game Pass viability and the platform's future direction.
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Microsoft has dissolved Halo Studios and handed the franchise to Activision, marking a major shift for a series that struggled to find its footing over the past decade.
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Former Halo leaders Bonnie Ross and Kiki Wolfkill have expressed dismay over Microsoft's decision to effectively close Halo Studios, leaving only a small support team. One employee was promoted and fired in the same week.
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Microsoft's September restructuring has left Halo Studios with a skeleton crew as development of future titles moves to Activision, according to pro player reports.
2 min readXbox has cut another 268 positions and reshuffled its first-party studios, including merging Playground Games and Turn 10, expanding Activision's role to develop the next Halo, and proposing the closure of Ninja Theory.
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Josh Daniels, a cinematic director at Halo Studios, was promoted on Monday only to be caught in layoffs the following day as Xbox announced the next Halo game will be developed at Activision.
1 min readWindows Central's Jez Corden has hinted at an incoming Xbox announcement regarding the Halo franchise, though details remain unclear. Industry sources suggest the news may involve both positive developments and staff changes.
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Xbox is roughly three-quarters through its restructuring plan, with more layoffs and studio reorganizations expected through fiscal 2027, according to a September memo from Xbox leadership.
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