Canceled Project Blackbird May Have Been Perfect Replacement For Destiny, Insider Says
Project Blackbird, an action-RPG MMO in development at ZeniMax’s Elder Scrolls Online team, has been canceled as part of Microsoft’s 2025 layoffs. The game was conceptually described as a fusion of Destiny 2 and Cyberpunk 2077, combining sci-fi action gameplay with MMO mechanics and social features.
According to Bloomberg reporter Jason Schreier, Project Blackbird represented an ideal replacement for Destiny 2, which Bungie has now concluded development on following the studio’s separation from PlayStation. The cancellation comes at a significant moment for the live-service shooter-MMO genre, with Destiny 2’s shutdown leaving a notable void in the market that Blackbird could have effectively filled.
The project’s termination reflects the broader wave of industry consolidation and cost-cutting measures affecting major publishers throughout 2025. Microsoft and other studios are cutting staff and halting projects as part of ongoing restructuring efforts. The loss of Blackbird demonstrates how industry layoffs directly impact game development pipelines and reduce player choice in competitive genres.