Microsoft is cutting 268 positions across Halo Studios, other Xbox first-party studios and management teams as part of a broader restructuring of its gaming division.
Xbox Chief Content Officer Matt Booty said the organizational “reset” is approaching completion, with the company targeting an overall workforce reduction of about 3,200 positions.
The restructuring also shifts development of the next Halo game to Activision, which is creating a new team specifically for the project. Halo Studios will retain a smaller group focused on supporting existing games. Activision President Rob Kostich said the team aims to deliver what he described as the “greatest Halo game ever.”
Meanwhile, Ninja Theory and Arkane are entering consultation processes after earlier divestiture plans failed. Xbox is expected to provide a broader update on its restructuring and upcoming games at an October 6 company town hall.
Related Tweet:
Microsoft is cutting 268 jobs across its Xbox division as part of a sweeping reorganization of its studios.
— The Washington Post (@washingtonpost) September 22, 2026
Activision, purchased by Microsoft in 2022, will create a new team to develop the next game in the Halo series. https://t.co/qNe67iCAUm
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TIPP Staff
