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Shuffling the deck chairs: Xbox continues its "reset" with dramatic restructuring

Shuffling the deck chairs: Xbox continues its "reset" with dramatic restructuring

Summary

Xbox is restructuring its gaming studios to improve teamwork and focus on key projects. As part of this change, some studios like Halo will be managed by Activision, and several layoffs are happening to reduce management layers and improve efficiency.

Key Facts

  • Xbox CEO Asha Sharma said teams often worked independently, making it hard to reach shared goals.
  • Halo Studios will become a small support team, with most staff laid off; Activision will take over Halo’s main development.
  • Activision now also manages Rare (Sea of Thieves) and World’s Edge (Age of Empires).
  • Obsidian Studios will join Bethesda to work on new games like Grounded and a new Fallout project.
  • Playground Games and Turn 10 studios are merging into one team.
  • Microsoft is looking to sell Ninja Theory and Arkane Studios.
  • About 3,200 layoffs are planned; approximately 75% are completed.
  • The restructuring aims to reduce management layers and focus on stronger franchises and games.
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