Industry outlet The Game Business reported this week that Xbox has undertaken a significant internal studio reshuffle and that longtime Microsoft studio Rare would be placed under Activision’s oversight.
The report also states that the move has prompted a number of cuts to Rare’s central operations team.
As of publication, Microsoft, Xbox, Rare and Activision have not released coordinated official statements confirming the full scope of those changes.
Background and corporate context
Rare is a veteran UK developer best known for franchises such as Banjo-Kazooie and for creating Sea of Thieves.
Microsoft acquired Rare in 2002; Rare has operated within the Xbox Game Studios umbrella since then.
Microsoft completed its acquisition of Activision Blizzard in October 2023, bringing both Activision and Rare under the same corporate parent company, Microsoft Corporation.
Sea of Thieves: platform and performance context
Sea of Thieves launched on March 20, 2018, for Xbox One and Windows, and was later released on Steam.
The live-service pirate game has been Rare’s primary commercial focus in recent years.
Sea of Thieves remains available on Xbox Series X|S and PC; it has not been released for Nintendo Switch or the Nintendo eShop.
What the reporting says (paraphrased)
According to The Game Business, Xbox’s internal reorganization included moving Rare into a reporting line that places it under Activision’s remit, and that change has coincided with reductions in Rare’s central operations staff.
The outlet further reported that Rare continues to work on multiple projects beyond Sea of Thieves, but that specific details — including whether any new projects will be multiplatform — were not specified in the initial reporting.
Developer history and recent projects
Rare previously announced Everwild as a new IP; public development history of that title has been subject to intermittent updates from Rare and Microsoft over multiple years.
Rare has also shifted internal resources across projects historically, including moving personnel between live-service support for Sea of Thieves and other internal initiatives.
What to watch next
This story centers on an industry report.
Verified confirmation from Microsoft, Rare or Activision would clarify which teams and roles are affected, the long-term management structure, and any implications for platform availability.
For now, coverage rests on The Game Business reporting and Rare’s established public record: a studio with a long pedigree inside Xbox Game Studios and a major live-service presence via Sea of Thieves.
The report also states that the move has prompted a number of cuts to Rare’s central operations team.
As of publication, Microsoft, Xbox, Rare and Activision have not released coordinated official statements confirming the full scope of those changes.
Background and corporate context
Rare is a veteran UK developer best known for franchises such as Banjo-Kazooie and for creating Sea of Thieves.
Microsoft acquired Rare in 2002; Rare has operated within the Xbox Game Studios umbrella since then.
Microsoft completed its acquisition of Activision Blizzard in October 2023, bringing both Activision and Rare under the same corporate parent company, Microsoft Corporation.
Sea of Thieves: platform and performance context
Sea of Thieves launched on March 20, 2018, for Xbox One and Windows, and was later released on Steam.
The live-service pirate game has been Rare’s primary commercial focus in recent years.
Sea of Thieves remains available on Xbox Series X|S and PC; it has not been released for Nintendo Switch or the Nintendo eShop.
What the reporting says (paraphrased)
According to The Game Business, Xbox’s internal reorganization included moving Rare into a reporting line that places it under Activision’s remit, and that change has coincided with reductions in Rare’s central operations staff.
The outlet further reported that Rare continues to work on multiple projects beyond Sea of Thieves, but that specific details — including whether any new projects will be multiplatform — were not specified in the initial reporting.
Developer history and recent projects
Rare previously announced Everwild as a new IP; public development history of that title has been subject to intermittent updates from Rare and Microsoft over multiple years.
Rare has also shifted internal resources across projects historically, including moving personnel between live-service support for Sea of Thieves and other internal initiatives.
What to watch next
This story centers on an industry report.
Verified confirmation from Microsoft, Rare or Activision would clarify which teams and roles are affected, the long-term management structure, and any implications for platform availability.
For now, coverage rests on The Game Business reporting and Rare’s established public record: a studio with a long pedigree inside Xbox Game Studios and a major live-service presence via Sea of Thieves.
