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### Xbox Organizational Restructuring: Workforce Reductions and Studio Mergers

In a notable shift within the gaming sector, Xbox revealed today that it will part ways with 268 employees throughout its organization, as part of its previously announced “reset.” This reorganization is geared towards merging several studios and initiating discussions with Ninja Theory, the studio recognized for the renowned title *Senua’s Saga: Hellblade II*.

### Layoffs Overview

Matt Booty, executive vice president and chief content officer at Xbox, verified the layoffs in a blog post on Xbox Wire. The impacted positions will encompass “Halo Studios, additional first-party studios, and the XGS management and central functions tier.” This decision is integral to a sweeping restructuring plan that Booty noted is now three-quarters complete.

### Studio Autonomy and Evolution

The ongoing transformations at Xbox have already resulted in significant studios like Compulsion Games and Double Fine achieving autonomy, taking their intellectual properties with them. Likewise, Undead Labs is now independent and plans to launch *State of Decay 3* on Game Pass upon release. Nevertheless, Ninja Theory is confronting hurdles, as two deals have recently collapsed, prompting the studio to begin discussions alongside Arkane, which is also in the midst of restructuring.

### Strategic Mergers and Forward-Looking Plans

The reorganization further entails the amalgamation of several studios. Rare will partner with Activision, collaborating alongside the *Age of Empires* studio World’s Edge. This merger also includes the establishment of a new group dedicated to the development of the forthcoming *Halo* installment, with 343 Industries maintaining only a limited number of personnel to assist existing *Halo* projects and community engagements.

Other studio realignments involve Obsidian merging with Bethesda. Obsidian will persist in its work on *Grounded* and its new *Fallout* endeavor. Microsoft Casual Games will merge with King, and Playground Games will join forces with Turn 10 to concentrate on the *Forza* and *Fable* franchises.

### Dedication to Assistance

Booty stressed the necessity of providing support to those affected by these job cuts, emphasizing a pledge to treat impacted employees with dignity and consideration. He noted intentions to spend time with the teams next week, culminating in a town hall meeting on October 6 to evaluate the company’s advancements and prospects, which promises one of the strongest game lineups in Xbox’s history.

### Activision’s Perspective

Activision president Rob Kostich expressed his excitement regarding the integration of *Halo*, Rare, and World’s Edge into Activision. He conveyed the company’s goal to produce the ultimate *Halo* game, respecting the franchise’s heritage while appealing to longtime supporters. Kostich’s remarks emphasize the commitment to forming a skilled team dedicated to delivering the next installment in the *Halo* saga.

### Summary

As Xbox continues to navigate these organizational adjustments, the effects on its workforce and game development projects are significant. With a future oriented towards integrating teams and leading industry titles, Xbox’s strategy seeks to adapt to the shifting gaming environment while maintaining ongoing interaction with its community of gamers.

Hello all! Welcome to another week of feeding the Maw, the gluttonous cosmic sinkhole we must keep topped up with videogame news, lest it expand and masticate the entire universe. We’re up against it this week, because no less than two RPS writers are taking holiday, leaving the Maw’s thousand-ton dumbwaiters and condiment howitzers dangerously understaffed. Senior staff writer Mark is off on Friday – I can already hear the lamentation of various spouses in his on-going game of Crusader Kings 3. Even worse, Edwin, our breathtakingly insightful and ruggedly handsome news editor, is away from Wednesday (note to self: set this article’s author field to anonymous, before publishing).

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# Activision Assumes Control of the Halo Franchise: A Fresh Chapter for an Iconic Series

In a notable corporate restructuring action, Activision, the force behind the hugely successful *Call of Duty* franchise, is poised to take charge of the *Halo* franchise from Xbox. This shift signifies a major transformation for one of gaming’s most renowned sci-fi shooter series, as longtime developer Halo Studios, previously known as 343 Industries, will experience another round of layoffs. The remaining personnel will be reassigned to act as a support team for Activision as it works on the next chapter in the *Halo* narrative.

## Organizational Changes and Job Cuts Announced

On September 22, Xbox revealed a new series of layoffs and substantial organizational modifications, merely three months after a significant reduction of over 1,600 positions in July. This development indicates Xbox’s continuing strategy of streamlining its different studios and franchises. The announcement was made in a blog post by Matt Booty, Xbox’s Chief Content Officer, who confirmed that the forthcoming *Halo* title will be developed by “a new, dedicated team that operates independently from ongoing development and strategies for *Call of Duty*.”

Booty also shared that 268 layoffs occurred across Halo Studios and other sectors within Xbox. The reduced team that remains at Halo Studios will concentrate on “supporting the *Halo* community and games currently live.” According to Booty, the layoffs that Xbox had previously communicated as part of its broader “reset” are now about 75 percent finalized.

Booty conveyed appreciation to the departing employees, stating, “I am profoundly thankful for what our colleagues have created… I understand how challenging today will be for those departing and the teams surrounding them.”

## Activision’s Excitement for the Franchise

Along with acquiring the *Halo* franchise, Xbox is also incorporating World’s Edge, recognized for the *Age of Empires* series, and Rare under the Activision umbrella. Activision’s President Rob Kostich remarked, “We’re excited to welcome *Halo*, Rare, and World’s Edge to Activision. It’s an honor and a duty that we do not take lightly. These teams and their games have inspired fans worldwide for decades.”

Kostich elaborated on the aspiration for the *Halo* franchise: “For *Halo*, our aim is explicit: create the best *Halo* game ever, deserving of its universe and legacy, while remaining faithful to what endeared players to it in the beginning. It is an ambitious goal, one that this franchise merits.” He assured fans that a distinctive and talented team is already being brought together to present the next chapter of the *Halo* saga.

## A New Phase for Halo Studios

Since 2007, Halo Studios (343 Industries) has been tasked with the creation of significant *Halo* titles, including the *Halo* remake, *Halo 4*, *Halo 5: Guardians*, *Halo Infinite*, and the recent remake of the original game, *Halo: Campaign Evolved*, which launched earlier this year. While this team has celebrated its achievements, it has encountered substantial difficulties in recent years, resulting in layoffs and an unclear future.

The latest news indicates a crucial juncture in the nearly 20-year journey of Halo Studios, effectively marking the conclusion of its operational autonomy. Remaining team members will now transition to support roles under Activision’s guidance.

As the gaming community looks ahead to the future of *Halo*, this major transition promises to rejuvenate the franchise with new talent and innovative concepts, while also saying goodbye to the legacy built by Halo Studios.

Having launched though the same system of reservations and waitlists as the Steam Machine, the Steam Frame is still navigating that inscrutable void betixt “on sale” and “actually out.” Nevertheless, it’s had its first software update, SteamOS 0.3.0, which brings – among other technical tidbits – a microphone bug fix, smoother controller tracking, and “substantially faster” charging to the VR headset. Yeah, nice one Valve. Would have been useful to have that last one when reviewing the thing on a deadline but whatever.

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### Obsidian Entertainment’s Evolution Under Bethesda and Microsoft’s Strategic Realignment

Obsidian Entertainment, celebrated for its immersive storytelling and role-playing games (RPGs), is experiencing notable transformations as it operates under Bethesda amidst a significant restructuring of Xbox Game Studios. This transition is part of a larger reevaluation of resources within Microsoft, which seeks to refine its gaming strategies.

#### Major Changes and Developments

On September 22, Microsoft chief content officer Matt Booty revealed in a blog post that Obsidian’s ongoing projects, including the highly praised early access title **Grounded**, will proceed as intended. However, the announcement did not address the future of the studio’s cherished franchises such as **Avowed**, which fans have been eagerly awaiting. The studio is recognized for its past collaboration with BioWare on **Star Wars Knights of the Old Republic II: The Sith Lords** and its celebrated partnership with Bethesda on **Fallout: New Vegas**.

#### Obsidian’s Heritage and Microsoft’s Acquisition

Founded in 2003, Obsidian swiftly gained recognition within the gaming sector. Its achievements in crafting engaging RPGs, especially through partnerships with other prominent studios, solidified its status as a leading force in the genre. The studio enhanced its offerings in the 2010s by crowdfunding **Pillars of Eternity**, an isometric RPG that garnered critical acclaim, followed by the sci-fi RPG **The Outer Worlds**.

In 2018, Microsoft acquired Obsidian as part of its initiative to bolster its Game Pass subscription service. This acquisition was initially perceived as beneficial for both entities, given Obsidian’s distinctive expertise in developing narrative-focused games.

#### The Strategic Transition

Despite the early enthusiasm, nearly a decade later, Microsoft has discovered its content strategy struggling. To remedy this, the company is redirecting its attention toward fewer blockbuster franchises, focusing on games with loyal fanbases such as **Diablo, The Elder Scrolls**, and **Fallout**. In this strategic shift, Obsidian has been tasked with creating a new **Fallout** game, aligning its skills with the franchise that contributed to the studio’s elevated reputation.

Furthermore, reports suggest that remasters of **Fallout 3** and **New Vegas** are in the works, while development on **Fallout 5** is already in pre-production at Bethesda. This intensified focus on established franchises signifies a strategic initiative to consolidate success and meet fan desires.

#### Conclusion

The developments at Obsidian Entertainment mark a pivotal moment for the studio and the wider gaming industry. As it collaborates more closely with Bethesda and aligns with Microsoft’s new organizational approaches, the future of both Obsidian and its beloved titles like **Avowed** and **The Outer Worlds** remains uncertain yet promising. The repercussions of this corporate restructuring are likely to have enduring impacts on the company’s trajectory and the overall RPG landscape.

Hideo Koijima and his studio Kojima Productions have offered a more in-depth version of their side of the story after action espionage game Physint switched publishers from PlayStation to Xbox earlier this month. Kojima claimed PlayStation had tried to cancel the game, with a subsequent report from Bloomberg alleging that an exceeded budget, missed deadlines, and Death Stranding series sales not being as strong as Sony hoped were among the factors which led the console makers to get cold feet.

Now, Kojima Productions have urged people to take those claims “with a dose of scepticism”, as Kojima has gone through his version of the events around the jump between publishers.

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### Xbox Unites Forza Studios to Reinforce Franchises

In a major update for the gaming industry, Xbox has revealed the integration of Turn 10 Studios, the developers of the original *Forza* racing series, with Playground Games, the team responsible for the more acclaimed *Forza Horizon* spin-off. This tactical decision is aimed at establishing a larger, cohesive studio focused on enhancing both the *Forza* and *Fable* franchises, as stated by Xbox’s chief content officer, Matt Booty.

### Background on the Integration

On September 22, 2026, Booty distributed a memo through Xbox Wire that hinted at ongoing corporate restructuring and further layoffs within the company, succeeding a previous wave of 1,600 job cuts in July. This announcement arrives during Xbox’s extensive reset strategy, designed to rejuvenate its operations and boost efficiency. The latest reorganization has resulted in additional job losses across various sectors of Xbox.

Booty remarked, “Playground and Turn 10 will unify as a single studio dedicated to the *Forza* and *Fable* franchises.” This merger capitalizes on over a decade of joint efforts between these two groups, formalizing their collaboration and paving the way for improved development initiatives.

### Playground Games: An Ascendant Player

Playground Games has risen to a crucial position within Xbox’s lineup, particularly with the acclaim of the *Forza Horizon* series, which has turned into one of the platform’s most cherished franchises. The studio is also nearing completion on the reboot of the *Fable* RPG series, slated for launch in February 2027. The anticipation surrounding *Fable* is promising for the newly formed studio’s prospects, highlighting a strong potential for innovative collaboration between the two franchises.

### Turn 10’s Obstacles

Conversely, Turn 10 has encountered notable challenges in recent years. The studio was especially affected in 2025, experiencing significant layoffs that reportedly left it with a greatly diminished staff. Furthermore, plans for a new *Forza Motorsport* title were abandoned, with the last game produced by Turn 10 debuting in 2023. The future of the *Forza Motorsport* series remains unclear due to this merger, as it is uncertain how Turn 10’s legacy will be incorporated into the new framework.

### Details of the Integration

An update on the merger indicated that there would not be a new name for the studio following the integration. Instead, Trevor Williams, co-founder and studio leader of Playground Games, will remain at the helm of the newly combined studio. This implies that Turn 10 has been effectively integrated into Playground, optimizing operations and aligning on common objectives. The strategy reflects a commitment to maintaining the distinct identities of both franchises while cultivating a cooperative atmosphere.

### Conclusion

The unification of Turn 10 Studios and Playground Games represents a crucial transition for Xbox as it aims to consolidate its assets and refine its strategies for developing key franchises. With the collective strengths of both studios, Xbox seems ready to elevate its franchise offerings, especially in the *Forza* and *Fable* domains, encouraging innovation and creativity in forthcoming game development. As the gaming environment perpetually shifts, all attention will be on this newly established studio to provide engaging experiences that resonate with players globally.

I loved 2024’s Lorn’s Lure, the megastructure exploration game with the handsome climbing axes, but it took me a while to get the better of the whole “repeatedly falling and dying” element. I imagine a few megastructure lovers were deterred by this. Fine, says developer Rubeki, here’s The Hollowing – another megastructure game set in the same narrative universe, but this time, with an airplane.

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**A Deep Dive into Xbox’s Major Overhaul: Changes and Community Reactions Unveiled**

In a major transformation within the gaming sector, Xbox has initiated a “reset” strategy that entails the dismissal of roughly 3,200 employees. This overhaul indicates a turbulent period for the company, influencing not only the workforce but also the cherished studios that have played a role in Xbox’s varied gaming catalog. As numerous studios are relocated, merged, or closed, the gaming community is voicing a blend of discontent and acceptance.

One of the most significant changes during this restructuring is the potential handover of the legendary *Halo* franchise from its established caretaker, 343 Industries, to Activision Blizzard. This development has sparked disbelief among fans, with many turning to social media to express their worries. A tweet perfectly encapsulated the sentiment, stating, “This is the truly heartbreaking news along with the other layoffs… just sad to see this unfold, man.” For numerous fans, the idea of *Halo* being created by a studio known for *Call of Duty* feels bewildering, leaving them dubious about the future of a franchise they treasure.

Another prevalent feeling among gamers is the acknowledgment that *Halo* has faced challenges in recent years, with many asserting that such a significant change may be essential to rejuvenate the series. A tweet noted, “Halo fans thinking they’re free from 343 only to transition to modern COD developers,” underscoring the irony of the potential development shift.

Beyond *Halo*, other studios within the Xbox framework are also impacted. Rare, recognized for *Sea of Thieves*, will be integrated into Activision Blizzard, while Obsidian will align with Bethesda. Furthermore, the Forza creator Turn 10 and Playground Games are merging into a single entity. The consolidation of these studios has conjured images of pandemonium in the gaming community, with fans comparing the scenario to a scene from a horror film where cherished franchises merge into something unrecognizable.

The timing of these announcements has also attracted attention, as they come on the heels of Xbox’s declaration that it would be the new home for Hideo Kojima’s *Physint*, a venture that was reportedly shelved by Sony. Gamers are contending with a mix of anticipation and apprehension, attempting to balance the introduction of new titles while witnessing the decline of established franchises.

As reactions come in, players are also pondering Xbox’s strategic outlook. One observer highlighted the unsettling aspect of the layoffs juxtaposed with high-profile agreements like Kojima’s, questioning if Xbox has a clear plan moving ahead. Many feel disheartened, reflecting on whether these ambitious changes signal a broader misalignment within the company.

The prevailing sentiment within the community is that these alterations are troubling—not only for the developers who have lost their positions but also for those who remain and the fans invested in the games they craft. A user succinctly summarized this worry by stating, “It’s all just so uniformly dreadful… No good has or will arise from any of this, and I abhor those accountable.”

To conclude, as Xbox navigates through this substantial transition, the effects on its workforce, franchises, and the wider gaming industry remain unclear. The community’s varied reactions mirror a profound concern for the future of cherished franchises and the wellness of the gaming medium overall. The true ramifications of these changes will unfold over time, but for now, the sentiment resonates with one of loss and turmoil among Xbox’s supporters.

I dug The Cosmic Wheel Sisterhood. It’s a game about a fortune-telling witch on an asteroid who designs tarot cards and eventually gets sucked into politics. It also has its own special dildo. The devs behind it, Deconstructeam, are set to release their next game on October 27th. It’s called Virtue and a Sledgehammer, and it’s about revisiting your hometown to do a bit of trauma-laced DIY – if levelling the place counts as DIY.

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