Xbox reorganizes Rare and Obsidian Entertainment under Activision and Bethesda
Xbox announced that its studios Rare and Obsidian Entertainment will be placed under Activision and Bethesda respectively as part of a broader restructuring following recent layoffs.
Xbox said it is consolidating its studio portfolio to streamline operations and strengthen its game franchises. In a company memo, chief content officer Matt Booty explained that the move will align groups that already work closely together and focus publishing expertise.
Under the new structure, Bethesda will assume responsibility for Obsidian Entertainment, which will continue work on titles such as Grounded and a forthcoming Fallout project developed with Bethesda Game Studios. Activision will take over Rare and will also expand its remit to include World’s Edge. Activision will lead development of the next Halo game with a dedicated team separate from the existing Halo Studios, which will keep supporting the current Halo titles and community.
The reorganization does not affect ongoing development on existing projects, according to the announcement. The changes follow additional layoffs announced in July, which reduced Xbox staff by 268 positions.