TECHNOLOGY · VERIFIED DEVELOPMENT
Xbox Shifts Halo Development Under Activision Amid 268‑Person Layoffs
WHY IT MATTERS
The transfer places Halo under Activision’s leadership, potentially altering its creative direction and release schedule, while the staff cuts reduce the internal team that supported the franchise’s community and ongoing projects.
What happened
Xbox has moved the Halo franchise from its own studio to the umbrella of Activision, the maker of Call of Duty, as part of a broader restructuring that follows July’s mass layoffs. 343 Industries, the studio that released Halo: Campaign Evolved, will be reduced to a small support team, while the rest of its staff is laid off.
The change aims to curb the independence that previously made it hard for teams to align on shared goals, a problem highlighted by CEO Asha Sharma. Activision’s president, Rob Kostich, said the new structure will assemble a purpose‑built team to deliver the next Halo title, promising to honor the series’ legacy while pursuing a bold ambition.
The move signals a shift in creative control and a tighter integration of Halo’s development with Activision’s resources.
PRIMARY SOURCES
Shuffling the deck chairs: Xbox continues its "reset" with dramatic restructuring
Ars Technica · Kyle Orland · Discovery only; Condé Nast copyright terms apply