Josh Daniels had just received a promotion at Xbox when his career at the company came to an abrupt end. The Halo Studios cinematic director revealed that he had been laid off as part of Microsoft's latest round of Xbox cuts.
'Promoted and laid off in the same week is pretty wild. I'm one of the many hit by the Halo Studio layoffs. I'll be taking some offline time today, but I'd love to talk to anyone looking for Cinematic Direction or Production roles. Feel free to get in touch if anything looks like I might be a fit,' Daniels wrote on LinkedIn, confirming that he was among those affected by the Halo Studios layoffs.
Daniels had spent about 11 years working across Xbox. He joined Turn 10 Studios in 2015, where he worked on the Forza Motorsport franchise, before moving to Halo Studios in 2024.
Daniels' LinkedIn post did not identify the reason for his layoff, but he highlighted the unusual timing of the decision. One commenter described the situation as particularly difficult because the promotion and layoff came so close together, while others offered support and encouraged Daniels to consider opportunities elsewhere in the industry.
Xbox Cuts 268 Jobs in Latest Restructuring
Daniels is one of hundreds of employees affected by Microsoft's latest Xbox restructuring. Microsoft announced that it was eliminating 268 roles across Halo Studios, other first-party studios and the Xbox Game Studios management and central-functions layer. The company said the changes were part of its continuing Xbox 'reset.'
The latest cuts follow a major round of Xbox layoffs announced earlier this year. Microsoft said the actions completed since July, including studio divestitures, put the restructuring roughly three-quarters of the way toward completion.
The changes are not limited to job cuts. Microsoft is also reorganising several of its major gaming studios and franchises.
Activision Is Taking Over the Next Halo Game
One of the biggest changes involves Halo. Microsoft confirmed that Activision will develop the next mainline Halo title, with a new purpose-built team separate from Activision's existing Call of Duty development plans. A smaller team at Halo Studios will remain focused on supporting existing Halo games and the player community.
The move represents a major change for Halo Studios, formerly known as 343 Industries, which has been closely associated with the franchise's development.
What Happens to Halo Studios?
Halo Studios is not being shut down entirely. Microsoft said a smaller team will continue supporting existing games, while Activision takes responsibility for developing the next mainline Halo title. The company has not yet announced a release date or detailed information about Activision's new Halo project.
'For Halo, our goal is clear: make the greatest Halo game ever, worthy of its universe and legacy while staying true to what made players love it in the first place. It is a bold ambition, one that this franchise deserves. We have already begun assembling a purpose-built team, unique in capability and talent, ready and excited to deliver this next chapter with the community,' Activision president Rob Kostich spoke to GameFile and shared plans for Halo.
The restructuring also affects other Xbox operations. Activision is expanding its remit to include Rare and World's Edge, while Bethesda is taking on Obsidian. Playground Games and Turn 10 are also being brought together as one studio focused on the Forza and Fable franchises.
