Xbox transfers Rare and Halo franchise to Activision, proposes closure of Ninja Theory, and confirms another 268 roles cut amid studio restructure

Key Points:

• Xbox has transferred the legendary UK studio Rare and ownership of the Halo franchise to Activision, while announcing the imminent closure of Ninja Theory and significant staff cuts at Halo Studios.
• The next Halo game will be developed by a new, dedicated team separate from ongoing projects and Call of Duty development, with a small Halo Studios team continuing community support.
• Xbox is restructuring its studios, with 268 roles cut across Halo Studios, other first-party studios, and central management, as part of CEO Asha Sharma's "resetting of the business," aiming to streamline operations and focus on core IPs.
• Several studio remits are expanding: Activision will oversee Rare and World's Edge, Bethesda will include Obsidian, King will add Microsoft Casual Games, and Playground and Turn 10 will merge to focus on Forza and Fable franchises.
• Undead Labs has exited under similar terms to Double Fine and Compulsion Games, releasing State of Decay 3 with a new publisher, while Ninja Theory faces closure after failed sale attempts, and Arkane Lyon remains under consultation through year-end.