Activision is taking over Halo as part of a massive Xbox shake-up

Microsoft is implementing a massive restructuring of its Xbox studios, resulting in the layoff of approximately 268 employees. As part of this shake-up, Activision will take over the Halo, Sea of Thieves, and Age of Empires franchises. Specifically, Halo Studios, formerly 343 Industries, will not develop the next mainline Halo game due to drastic size reductions. Instead, Activision is creating a new purpose-built team, separate from Call of Duty, to handle the development of the next Halo title.