Today, Xbox will lay off 268 more individuals across its organization as it continues its previously-announced “reset,” consolidates several of its studios and enters consultation with Senua studio Ninja Theory.
In a post to Xbox wire today, Matt Booty shared that the roles would be eliminated across “Halo Studios, other first-party studios, and the XGS management and central functions layer” and would be counted as a part of the previously laid-out restructuring of the company, which he claims is now three-quarters of the way complete.
Previously, both Compulsion Games and Double Fine went independent from Xbox, taking their back catalogs and IP with them. Undead Labs has now also made a similar transition, Booty writes, and will release State of Decay 3 on Game Pass at launch.
However, two agreements have now fallen through for Senua studio Ninja Theory. As a result, it is entering consultation alongside Arkane, which is still undergoing the process.
In addition, a number of studios will be condensed into one another. Age of Empires studio World’s Edge and Rare will join Activision, and Activision will also build a new team that will oversee the next Halo game. 343 Industries will retain a small number of staff to continue supporting existing Halo games and community, but will not be developing a new Halo.
Obsidian is joining Bethesda and will keep working on Grounded, as well as its previously-announced new Fallout project. Microsoft Casual Games will join King, and Playground and Turn 10 will merge to focus on both Forza and Fable.
“Today, our focus should be on supporting those affected and treating one another with care and respect,” Booty concludes. “I will spend time with our studios over the next week. At our October 6 town hall, we will come together as an ALL-XBOX team to reflect on our progress and look ahead to one of the strongest game lineups in our history.”
An additional statement was provided to Kotaku by Activision president Rob Kostich:
We’re thrilled to welcome Halo, Rare, and World’s Edge to Activision. It’s an honor and a responsibility that we do not take lightly.  These teams and their games have inspired fans around the world for decades.
For Halo, our goal is clear: make the greatest Halo game ever, worthy of its universe and legacy, while staying true to what made players love it in the first place.  It is a bold ambition, one that this franchise deserves. We have already begun assembling a purpose-built team, unique in capability and talent, ready and excited to deliver this next chapter with the community.
To the World’s Edge and Rare teams, we can’t wait to get to work together.