Microsoft is reportedly preparing to move the Halo franchise under Activision Blizzard King as part of a wider restructuring of its Xbox gaming business. The claim comes from leaker NateTheHate, who said Halo will be placed under ABK while other parts of Microsoft’s gaming organization are also reassigned internally. Microsoft has not announced such a change, so the reported move remains unconfirmed.
NateTheHate discussed the restructuring on ResetEra while responding to reports that Microsoft intends to cut hundreds of Xbox jobs and consolidate multiple studios this week. He initially said that more than Halo would be moving under ABK and that other studios would be shifted to different companies within Xbox and Microsoft. He later clarified an important distinction: his claim concerns Halo itself being moved under ABK, rather than confirmation that Halo Studios as an organization will also be transferred.
That distinction leaves several major questions unanswered. It is not clear what putting Halo “under” Activision Blizzard would mean operationally, whether ABK leadership would oversee the franchise, whether Activision studios could become involved in development, or whether Halo Studios would continue operating separately while reporting through a different part of Microsoft. NateTheHate has not publicly detailed the proposed management structure, and there is currently no confirmation that established Call of Duty developers such as Treyarch, Infinity Ward or Sledgehammer Games are being assigned to Halo.
Halo is currently developed by Halo Studios, the Microsoft team formerly known as 343 Industries. Its most recent release, Halo: Campaign Evolved, launched on July 28, 2026 as a rebuilt version of the original Halo: Combat Evolved campaign, with Halo Studios listed as developer and Xbox Game Studios as publisher. The game was also the franchise’s first major release to launch across Xbox, PC and PlayStation 5, reflecting Microsoft’s broader push to distribute some of its major franchises beyond Xbox consoles.
The timing of the rumor is significant because Microsoft is reportedly preparing another substantial reorganization across Xbox. The Information reported that hundreds of positions could be eliminated and several studios consolidated, while separate reporting has suggested that Blizzard may also be affected by upcoming layoffs. Jason Schreier recently said Blizzard layoffs were imminent, adding to indications that Microsoft’s gaming divisions are approaching another round of structural changes.
NateTheHate’s comments suggest the reported consolidation may involve more than simply reducing headcount. If franchises, studios or teams are being reassigned between Xbox’s existing corporate groups, Microsoft could be changing how its large portfolio of gaming businesses is organized following years of acquisitions. The company currently controls Xbox Game Studios alongside Bethesda parent ZeniMax and Activision Blizzard King, giving it several major publishing and development structures under the broader Microsoft Gaming organization.
A move involving Halo would be particularly notable because the franchise has historically been closely tied to Microsoft’s internal Xbox development organization. Bungie created the original games before 343 Industries took responsibility for the series, with the studio later rebranding as Halo Studios in 2024 as it shifted future development to Unreal Engine 5. Moving responsibility for the franchise beneath ABK would therefore represent a significant organizational change even if Halo Studios itself remained intact.
For now, however, the exact future of Halo remains unclear. NateTheHate’s comments provide a specific claim about the franchise moving under Activision Blizzard, but Microsoft has not confirmed the arrangement, explained what it would mean for Halo Studios, or identified any Activision Blizzard teams that would work on future Halo projects. Until the wider Xbox restructuring is formally detailed, claims about development responsibilities beyond the reported organizational move remain speculation.
