Microsoft’s Xbox division has announced a significant shift in its development strategy, confirming that the future of the Halo franchise will be managed by Activision. This transition is part of a broader corporate restructuring that includes an additional 268 job cuts, contributing to the company's goal of reducing its workforce by 3,600 positions.

The move marks a departure for the Halo series, which has served as a cornerstone of the Xbox brand since 2001. While the existing Halo Studios will continue to support current titles, Activision will lead the development of future installments. Rob Kostich, president of Activision, stated that the company is assembling a dedicated team to “make the greatest Halo game ever” while maintaining the series' identity.

As part of the ongoing reorganization, Xbox is also consolidating several of its studios. Bethesda will expand its operations to include Obsidian, while the teams behind Forza Horizon and Fable are being combined. Additionally, Activision’s oversight will grow to include the Age of Empires developer World’s Edge and the studio Rare.

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The company also provided an update on the status of Ninja Theory, the developer behind the Hellblade series. Despite efforts to sell the studio, chief content officer Matt Booty confirmed that two potential buyout agreements failed, leading the company to enter into employee consultations regarding a possible closure. Discussions with other parties remain ongoing.

Xbox CEO Asha Sharma previously described the current restructuring as the most significant in the division's history, citing a need to address financial health and slow growth in its subscription services. The company reports that it is currently three-quarters of the way through its planned transformation.

Source: BBC News