#Industry

Report: Epic adopts AI-first production model on new Disney shooter

Bloomberg reporter Jason Schreier reports that Epic Games told developers on a delayed Disney shooter to adopt an AI-first production model using tools such as Anthropic's Claude, with humans managing and guiding the work. An internal message reportedly said there would be no more hand-written code and that art would be generated with AI workflows, which reportedly left some Epic developers stunned. The game, described as a shooter featuring Marvel and Star Wars characters, was originally targeting a March release with no new date communicated; Disney invested $1.5 billion for an equity stake in Epic Games in 2024.

Bloomberg report: Epic pushed an unannounced Disney shooter toward an AI-first pipeline

Bloomberg, citing people familiar with the project, reported that Epic Games told the makers of an unannounced Disney shooter to adopt an AI-first production model, with art and code generated by AI, and that the project has been delayed indefinitely from a planned March release. The report says the game's director told developers there would be no more hand-written code and that the team was ordered to lean more on tools such as Anthropic's Claude. Epic did not confirm or deny the account, with its communications director saying the company is embracing AI-accelerated development led by Epic developers, while Disney has not commented.

Epic Reportedly Pushing Devs to Use AI, Delays Secret Star Wars and Marvel Crossover Shooter

Activision reportedly considering rebooting Halo

Halo's new steward Activision reportedly considering rebooting the series, with a team in Sledgehammer Games leading the charge. https://bit.ly/3TExoRH

Fan timeline traces PHYSINT's development, from Sony cancellation to Xbox publishing

Reddit user /u/Sascha2022 compiled a timeline of Kojima Productions' PHYSINT from 2019 to 2026, along with the studio's growth. According to the post, Sony notified the studio in mid-June 2026 that it was cancelling the project, and on September 10 the studio confirmed Xbox as its new partner and publisher. On September 17, Hideo Kojima revealed Bill Skarsgard as the lead at the Xbox Tokyo Game Show stream, saying the project remains at a conceptual and experimental stage with a small team.

Report claims Halo Studios is down to about 30 people for one last update before a possible shutdown

A video report from Rebs Gaming on October 6 claims about 30 developers not included in recent Xbox layoffs are still at Halo Studios under boss Pierre Hintze, working on one last free content update for Halo: Campaign Evolved that would add Firefight and Theater Mode, plus help with December's Halo Fest. The report says this team has no connection to Activision, which now runs the Halo franchise, and that no one is moving to the new team being built there, with the studio possibly shutting down after the event and update. Halo Studios also shared concept art this week, reportedly including ideas for a Halo Infinite sequel such as giant trees in a swamp on Zeta Halo, some of it from former Halo lead Joseph Staten before he left in 2023.

Skydance plans to combine newly formed Paramount Games Studio with WB Games and names games leadership

According to an email sent to staff Tuesday evening and obtained by Variety, Skydance plans to combine the newly formed Paramount Games Studio with WB Games and set leadership across its games and experiences business. Tony Driscoll will be president of games and experiences while also leading corporate strategy and development, and Josh Silverman will be president of global products and publishing. Jim Sterner remains chief people officer, Jose Turkienicz remains president of global operations, and Jeff Silberman becomes Gordon's chief of staff while continuing as executive vice president of corporate strategy.

RebsGaming: Xbox's Plan for Halo Studios

A leak says no one from Halo Studios has moved to Activision, and Pierre Hintze's 30-person in-market title team is not part of any transfer plan. Matt Booty told remaining staff their priorities are Halo Fest and shipping a campaign evolved update, with a small group working on a content update including Firefight and Theater modes planned for December. The source adds that the remaining team and Pierre have no contact with Activision and know nothing about the game it is making.