Former Halo leaders lament effective closure of Halo Studios, as one employee finds themselves promoted and fired in same week
Microsoft’s September 22 Xbox restructuring resulted in 268 layoffs across the division, with Halo Studios experiencing particularly severe cuts. The studio is being effectively shuttered, reduced to approximately 20 remaining developers according to reports from esports player aPureGangster, who cited a “very reputable source.” While Halo Studios will technically remain in some capacity, the massive reduction represents an effective closure of the studio as it previously operated.
As part of the restructuring, stewardship of the Halo franchise and development of future titles is being transferred to Activision. This consolidation marks a significant shift in how Microsoft is managing one of Xbox’s most iconic and historically important properties.
The cuts were notably sudden and impacted employees harshly. Cinematic director Josh Daniels was promoted and then laid off in the same week—a stark illustration of how abruptly the restructuring occurred. Former Halo leadership, including studio veterans Bonnie Ross and Kiki Wolfkill, publicly expressed their sympathy for affected employees, with Ross stating she was “gutted to hear the news.”