Halo Studios Director Promoted and Laid Off in Same Week Amid Xbox Restructuring

Josh Daniels confirmed his exit from the Halo studio following a week that saw him promoted and then terminated, as Xbox continues its broad layoffs and studio shakeups.

Sep 22, 2026
Game News
Halo Studios Director Promoted and Laid Off in Same Week Amid Xbox Restructuring

Xbox's ongoing restructuring has led to further layoffs, impacting Halo Studios' cinematic director, Josh Daniels. Daniels confirmed in a LinkedIn post that he was promoted within the same week he was laid off, a situation he described as "pretty wild."

Daniels was one of many employees affected by the layoffs across Halo Studios, other first-party studios, and central management functions, as announced by Chief Content Officer Matt Booty. He had been with Xbox for over a decade, previously contributing to the Forza Motorsport games before becoming cinematic director at Halo Studios in 2024. His work included Halo: Campaign Evolved, which received a lukewarm reception upon its release earlier this year.

The departure of a cinematic director suggests a significant shift in approach for the next Halo game. This follows the surprising announcement that Activision, the developer behind Call of Duty, will now be taking the lead on the Halo franchise. While Halo Studios will continue to support existing titles and the community, Activision will spearhead new game development for the series. This decision has drawn mixed reactions from fans, though many express cautious optimism about the franchise's potential revitalization.

In related news from Xbox's restructuring, Undead Labs, the studio behind State of Decay, has confirmed its next game remains in active development with a closed beta planned for later this year and a 2027 release target. The full extent of Xbox's strategic changes and their impact on future game development remains to be seen.

Sources