Xbox is undergoing a significant restructuring, described by new CEO Asha Sharma as a "reset," with a clear directive to prioritize and accelerate development on its tentpole franchises. This shift follows substantial layoffs and the official acquisition of Activision-Blizzard-King, impacting multiple studios. While some studios like Double Fine, Compulsion Games, Undead Labs, and Ninja Theory will continue under new structures or corporate ownership, the overarching strategy now centers on strengthening Xbox's biggest intellectual properties.

Revitalizing Halo

The Halo franchise has faced a turbulent period, marked by the mixed reception of Halo 5, a delayed launch for Halo Infinite, and the studio's recent decision to move away from its proprietary Slipspace engine to Unreal Engine 5. The upcoming Halo: Campaign Evolved, a UE5 experiment, will notably lack multiplayer. To accelerate the franchise's output, the strategy suggests potentially reassigning development. While id Software was initially considered, significant layoffs there make this unlikely. Instead, MachineGames, known for its successful reboot of Wolfenstein and the recent Indiana Jones and the Great Circle, is proposed as a prime candidate to reboot the Halo series entirely. This approach acknowledges the complexity of the current Halo narrative and the aging voice cast, suggesting a fresh start is necessary. Halo Studios would retain responsibility for the multiplayer component, a facet where they have demonstrated capability with titles like Halo 5 and Infinite.

Beyond a potential reboot, the model of Games Workshop, which collaborates with numerous external developers for various Warhammer 40K titles across genres, is presented as a future blueprint for Halo. This would allow for a more consistent presence of new Halo games and experiences across different genres, capitalizing on the universe's rich lore.

Accelerating Fallout and The Elder Scrolls

Major RPG franchises Fallout and The Elder Scrolls have not seen mainline, single-player installments in over a decade. While The Elder Scrolls 6 is in production and Fallout 5 is slated for direction by Todd Howard, current development models suggest Fallout 5 could be a mid-2030s release. To address this, Xbox is exploring a model similar to Call of Duty's multi-studio approach, fostering a "development circle" for its RPGs. This circle would include Bethesda Game Studios, Obsidian Entertainment (developers of Fallout: New Vegas), and inXile Entertainment (known for Wasteland).

By adopting six-year development cycles and potentially utilizing a shared technology pipeline, such as Unreal Engine or Bethesda's Creation Engine, this collaborative approach could lead to a new Fallout or Elder Scrolls game releasing every other year. Recent reports suggest this strategy is already being implemented, with the cancellation of Obsidian's Avowed 2 and Fallout: New Vegas game director Josh Sawyer shifting focus to a new Fallout title.

A Franchise-First Future

The "reset" at Xbox indicates a strategic pivot towards maximizing the potential of its established franchises. While this may mean fewer new intellectual properties and smaller projects, the focus on delivering more frequent installments of beloved series like Halo, Fallout, and The Elder Scrolls could be a significant benefit for players. This franchise-first approach aims to ensure these core IPs remain relevant and consistently available to audiences, especially as Xbox appears to be further targeting the PC market alongside its console efforts.