THE CRUNCH

Microsoft is reportedly moving the next mainline Halo game to Activision, with Halo Studios being drastically reduced in size. A new purpose-built team at Activision will develop the title, separate from the Call of Duty studio.

The restructuring means Halo Studios, formerly 343 Industries, will not develop the next major Halo game. Microsoft has instead tasked Activision with creating a new, purpose-built team to handle the project.

This move follows Microsoft's broader Xbox restructuring, which has seen the company consolidate its first-party studios. The shift in developer responsibility marks a significant change for the Halo franchise.

WHAT HAPPENS NEXT

It remains unclear how this shift will impact the development timeline or the creative direction of the next Halo game.