Activision Takes Over Halo as Xbox Ends a 16-Year Era

Xbox has confirmed a major change for Halo: Activision will develop the next mainline game through a new team separate from its Call of Duty development plans. The decision ends Halo Studios’ 16-year run as the franchise’s lead developer. Fans should expect ongoing support for existing Halo games, but any plans beyond Halo: Campaign Evolved are now worth treating as uncertain.

What changed for the next Halo game

In a statement published by Xbox Wire, Xbox Chief Content Officer Matt Booty said Activision would take the lead on the next Halo project. The game is being assigned to a newly created, purpose-built team rather than a group involved with Activision’s continuing Call of Duty work.

The announcement confirms earlier reports that Xbox was consolidating parts of its studio organization. It also moves Halo away from the developer previously known as 343 Industries, which rebranded as Halo Studios in October 2024. That rebrand was presented as a fresh phase for the series, but the studio’s role has now been significantly reduced.

Who is affected by the restructuring

Halo Studios is not being closed. According to Booty, it will continue supporting the Halo community and the games already in-market while Activision works on the new title.

However, Xbox is eliminating 268 roles across Halo Studios, other first-party studios, and the Xbox Game Studios management and central functions layer. The announcement does not provide a breakdown, so the number of affected employees specifically at Halo Studios remains unknown.

The change closes a long chapter for the developer. Founded as 343 Industries in 2007 after Bungie’s departure, the studio helped with Halo: Reach map packs and Halo: Combat Evolved Anniversary before releasing Halo 4 in 2012, Halo 5: Guardians in 2015, and Halo Infinite in 2021.

What players should watch next

The immediate question is how much of Halo Studios’ previous roadmap survives the handover. Halo: Campaign Evolved reportedly teased a Halo 2 remake, while earlier rumors suggested the studio was considering remakes across the original trilogy. Xbox’s decision to place the next game under Activision makes those plans uncertain, but the announcement does not confirm that they have been canceled.

For now, players can continue to expect support for existing Halo releases from Halo Studios. Information about Activision’s project, its scope, and its release timing has not been provided. That leaves the next Halo game in an early and largely undefined stage.

Why it matters

  • Activision is leading development of the next Halo game through a new team separate from its Call of Duty plans.
  • Halo Studios remains active but is stepping away from the franchise’s lead development role.
  • Xbox is cutting 268 roles across several studio and corporate groups, without specifying how many are from Halo Studios.
  • Existing Halo games will continue to receive support, according to Xbox.
  • Potential Halo 2 and original-trilogy remake plans are now uncertain rather than confirmed canceled.

Expert View

This is a major strategic reset rather than an immediate end to Halo. Activision’s involvement could give Xbox a different development structure for the franchise, but the layoffs and the lack of details about the new team make it too early to judge the project. The safest view for players is to follow official updates, keep expectations measured, and treat previously rumored remake plans as unconfirmed.