Xbox CEO Allegedly Pulled Halo Trailer, Canceled PS5 Gears of War

A trailer for an upcoming Halo game was reportedly withdrawn from the recent PlayStation State of Play event by Xbox CEO Asha Sharma and her team, according to a Bloomberg report. Sources familiar with the matter told Bloomberg that this decision potentially damaged the relationship between Xbox and PlayStation.

The specific Halo trailer was likely for *Halo: Campaign Evolved*, which is slated for release in July and marks the franchise's debut on a PlayStation platform. Microsoft and Sony later released a trailer for the game featuring footage captured on PlayStation 5 Pro. *Halo: Campaign Evolved* remains scheduled for PS5, as Microsoft has committed to existing agreements.

The Bloomberg report also claimed that a PlayStation 5 edition of *Gears of War: E-Day* was under development and planned for release until Sharma decided to cancel it. The report noted that this decision surprised many Xbox employees.

These details emerged as part of a wider Bloomberg report discussing expected layoffs at Xbox in July and potential studio closures. In a memo to staff, Sharma addressed forthcoming changes to the Xbox studio system, stating, "We expanded our studio system when we needed a pipeline of content to meet multiple strategies across subscription, streaming, and devices. In the process, we have found ourselves over extended as we executed on changing strategies in a landscape of more readily available content." Sharma indicated these changes are part of steps to "reset the business" and has promised at least two "signature" Xbox console exclusives each year.

According to GameSpot, citing a Bloomberg report.