Microsoft is to close Xbox Entertainment Studios "in the coming months", abandoning its venture into original Xbox video content.
The company previously had big plans for the studio, including a live-action Halo TV series and a documentary series based on the crash of Atari. They will reportedly continue as planned but no further content will likely be produced.
Quantum Break will remain unaffected, too, Microsoft says, despite the title being planned as a gameplay/TV experience.
In an internal memo obtained by The Verge, Xbox boss Phil Spencer thanked Xbox Entertainment Studios for building an "impressive slate of original programming" but said that in order for Xbox to be successful, Microsoft "must remain committed to being a consumer-driven organization with the mission of meeting the high expectations of a passionate fan base, to create the best games and to drive technical innovation."
He continued: "Change is never easy, but I believe the changes announced today help us better align with our long-term goals. We have an incredible opportunity ahead of us to define what the next generation of gaming looks like for the growing Xbox community. I have a great deal of confidence in this team and know that with clarity of focus on our mission and our customers we can accomplish great things together. We already have."
The news follows yesterday's announcement that Microsoft is to cut up to 18,000 jobs worldwide.
Source: theverge.com, polygon.com