Microsoft followed the technology industry’s lead earlier this month when it announced 10,000 layoffs were to proceed in an attempt to prioritize growth and long term competition. It soon became clear that 343 Industries, a studio built to be the custodian of the Halo franchise, was one of the affected parties. The Halo Infinite developer was already struggling thanks to an underperforming multiplayer component, the cancelation of split-screen co-op, and a disgruntled fan base calling for 343 to move on from the legendary Xbox IP. Following the layoffs, rumors spread that the development of Halo titles would be shared among other companies.

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An investigative report authored by Jason Schreier claims that Matt Booty, head of Microsoft’s Xbox Game Studios, made assurances to the staff at 343 Industries that even though they may work with other partners, control of Halo would remain in their hands. It somewhat mirrors what Booty stated publicly in response to the rumors, affirming that 343 will continue as the primary developer for Halo. However, Schreier writes that significant changes are being made at the studio, and one of the most tangible is an engine change.

The report claims that switching from Slipspace to Unreal Engine had been an ongoing debate across the past decade which was finally decided in favor of Unreal once the studio head and engine lead changed late last year. Slipspace is reportedly the reason why Extraction and Assault, popular multiplayer modes from other Halo games that are nearly complete, have not yet been released. Based on now ancient code, Slipspace can prove rather unwieldy for developers, prompting frustration with 343 staff forced to deal with it.

A new game currently dubbed Tatanka will be the first Halo title to use Unreal Engine 5. 343 Industries is due to develop the game with the aid of Certain Affinity which began as a battle royale, in the same vein as Fortnite, but may proceed in a different direction. The report also included other rather damning information about the state of future content for Halo Infinite, crushing the hopes of any looking forward to story-based DLC.

Halo Infinite is available now on PC, Xbox One, and Xbox Series X/S.

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Source: Bloomberg