MS responds to Bungie break-up rumours

By Robert Purchese Published 2 October, 2007

Has made no such announcement.

Microsoft has distanced itself from rumours that it will be splitting with Halo developer Bungie, claiming it never said anything of the sort.

"There's been no such announcement," a spokesperson told us. "We continue to celebrate the tremendous success of the global phenomenon that is Halo 3."

The unsubstantiated claim came from a blog linked to the Seattle Post-Intelligence, which heard from an unidentified "friend in the know" that an announcement on the separation was imminent - apparently Bungie is fed up with just making Halo games.

But the holes in the evidence are vast and varied: the author of post that started it all is Jacob Metcalf (enjoying some publicity) who isn't a member of the usually reliable Seattle Post-Intelligence newspaper, which has consistently distanced itself from user-posted information in blogs.

It also takes a leap of faith to believe that the relationship between Bungie and Microsoft is as bad as this rumour suggests, what with Halo 3 breaking all sorts of records and receiving wide critical acclaim. MS is also the owner of the developer, so a split isn't as easy as it sounds.

Fishy, though, is a reluctance for both Bungie and Microsoft to officially rebuke the rumours and state outright that it isn't true.

We will let you know more when we do.

Picture of Robert.

About Robert Purchese

Bertie is Eurogamer's Senior Staff Writer. When he's not hunting down news stories he's often found playing with his kids or gabbling about fantasy games and strange online worlds.

Read more articles from Robert by visiting the Robert Purchese archive page.

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Comments (52) Latest comment 4 years ago

Comments threads automatically close after 30 days, but please feel free to continue chatting on the forum!

  • Hunam #1 4 years ago

    ZOMG!

  • jonsaan #2 4 years ago

    The unsubstantiated claim came from a man who was walking his dog in a Seattle park. He said that his mate had heard from his Dad who works for the cleaning company that clean the Bungie offices. Well anyway he overheard a Bungie employee on the toilet who said that his bosses friend had heard that Microsoft were looking to sell Bungie.

  • bengray66 #3 4 years ago

    At last, an end to halo..........Oh wait, halo wars is due soon, theres an animation and a movie aswell :-(

    *runs and hides in a cave

  • Apologie #4 4 years ago

    it is possible, considering kojima is fed up with metal gear and working on the announced last game of the serie ( a profitable and successfull one as well), is not that strange.
    after a while, is normal to feel the need to embrace a new challenge.
    Edited by 2 at 02/10/07 @ 11:40

  • jack_klugman #5 4 years ago

    Fine, I'll 'fess up. I started this rumour. I'm very sorry.

  • CallousB #6 4 years ago

    I find it highly doubtful..but then again I never thought Nintendo would split with Rare.

    "There's been no such announcement" seems an odd thing for Microsoft to say as you would assume they would just shoot it down. Then again, the person asked at Microsoft may not have a clue so just gave a non-answer.

  • NOSAVIOUR #7 4 years ago

    Did'nt Bungie state the next thing for them was the 'Peter Jackson thing which is coming alone well...'
    Edited by 1 at 02/10/07 @ 11:40

  • neuroniky #8 4 years ago

    "I find it highly doubtful..but then again I never thought Nintendo would split with Rare. "

    If they split, let's just hope Bungie doesn't end up just like Rare did...
    Edited by 2 at 02/10/07 @ 11:40

  • grandmaster Verified Director, Digital Foundry #9 4 years ago

    The compete lack of outright denial is historically the closest you'll get to a confirmation from Microsoft PR.

    All eyes are now on Bungie's Frank O'Connor who you'd think would've jumped on top of this, being as he is, an ex-EMAP and Future journo.

  • monkie_king #10 4 years ago

    Hmm, it's not like Bungie can just up and leave. A management buy-out is one possibility, I guess, but it seems unlikely that MS would sell off the XBox's crown jewels. It's not like they need the cash.

  • vane101 #11 4 years ago

    I thought the Halo series was tied up now anyway and Bungie would work on new IP.
    Edited by 1 at 02/10/07 @ 11:42

  • kangarootoo #12 4 years ago

    If this were true, I'd be very much unsurprised.

    "It also takes a leap of faith to believe that the relationship between Bungie and Microsoft is as bad as this rumour suggests, what with Halo 3 breaking all sorts of records and receiving wide critical acclaim."

    Having critical acclaim is not the same as being sick of working on the same franchise for years on end. If there were a bad relationship I would expect it to result not from MS's regard of Bungie, rather Bungie staff being peeved that MS (understandably) want them to keep trucking at the same franchise.

    This is all supposition on my part, but I would totally understand if Bungie were getting a bit tired of Halo.

  • kangarootoo #13 4 years ago

    @monkie_king

    "Hmm, it's not like Bungie can just up and leave"

    Well parts of the dev team could. And working on the Halo series is a huge gold star on the CV of any developer.

  • monkie_king #14 4 years ago

    Sure, a few core members could quit and begin a new startup. That seems far more likely than "zomg Bungie is leaving M$!!1".

    Still, makes you wonder why. You'd think they'd pretty much have carte blanche to create new IP anyway, and it's not as if they're missing out on huge audiences by being 360-only (unless they're off to make DS and Wii games).

    Perhaps the Bungie juggernaut has simply grown too large and they want to start over from scratch.

  • Dizzy #15 4 years ago

    "friend in the know"

    ROFL... Internet at its best.

    Chance of this happening : 0.0%
    Edited by 1 at 02/10/07 @ 12:00

  • penhalion #16 4 years ago

    Perhaps they simply have nothing after Halo. We know there will be a new trilogy at some point so that's kind of a given. If they were smart, they would start treating this franchise like Kojima does the Metal gear one. I.e. revive the chief every few years for another epic adventure. In the meantime they can create some new stuff without anyone saying a word.

  • Carlo #17 4 years ago

    "There's been no such announcement," = It's true, we've just not told anyone yet.

    :)

  • Carrybagma #18 4 years ago

    I've heard they're about to sign up with SCEI.

  • Carrybagma #19 4 years ago

    Well, I haven't really - but it would be an equally good rumour.

  • sanctusmortis #20 4 years ago

    Yeah. Sony are selling MS their stake in Square-Enix, and Polyphony Digital too.

    /eyeroll.

  • Steroyd #21 4 years ago

    I can't believe such a rumour exists, does Sony owning Naughty Dog and Polyphony mean I'm taking their position as 1st party for granted if they could just pack up and leave if they feel like it?

  • MBar #22 4 years ago

    OK, I'll make the official announcement:

    It was me that farted earlier.

  • penhalion #23 4 years ago

    Sounds more like a few disgruntled employees looking to leave Bunjie and start something new. Technically everyone at bungie should be at least a millionaire. Of course those leaving could be the ones who got short changed out of the success.

    I've never understood why western developers get successful and instead of using that to their advantage (with the exception of valve) they grab the money, grow gigantic egos and think they can carry a company on their own.

  • barnard666 #24 4 years ago

    I just asumed halo was going to go to another developer now, (the peter jackson stuff maybe?)
    Why would MS get rid of them, surely you'd hold on to them incase they laid another golden egg...

  • Carrybagma #25 4 years ago

    Actually, Nintendo are selling their stake in Microsoft to Sony.
    Beat that.

    :-O

  • projectmayhem #26 4 years ago

    i wouldn't believe that rumour at all except for the lack of information, and vague comments from Microsoft. it's possible a split is on the cards because i would imagine bungie staff are sicking of looking at the same stuff after a decades work.

    at least kojima split things up with ZOE... Bungie haven't had that opportunity.

    if they do split up Bungie will have an immense amount of money to draw from and develop a big game.

    PS3 exclusive super rub'a'dub expansion pack ftw

  • Darren #27 4 years ago

    I wonder if there's some truth to it. There's the Halo film coming out at some point (presumably) and who better to make a game of it then Bungie... for multiple formats including the PS3. ;)

    There again, Bungie might just want to move onto new genres completely and leave the Halo series for good, as Bizarre Creations have with the PGR franchise? It must really cripple your creative talents if you have to keep making sequels all the time, instead of being allowed to work on unique products.

  • rhinoxious #28 4 years ago

    What a bunch of bollocks.

    Bungie probably have a small team that have been working on design concepts for what to do after Halo, and I'm sure that one of those will in production within days.

    If Microsoft are heavy handed in their management, and it's another sci-fi fps, then some bungie members will probably leave from boredom. If MS insist that they make another Halo game then plenty of them will probably jump ship or simply expire of boredom.

    The only other option is that there's a clause in Bungie's original buy-out by MS that gives them a way out. But given that MS bought bungie before even Halo 1 was released, and no one knew that it was going to be a huge game, I find that very unlikely.

  • Dan_LXIX #29 4 years ago

    There is also the other side of the coin - Bungie have no ideas what to do, and MS aren't happy about that.

    Just playing devils advocate here :)

  • MENTAL1ST Verified Senior Software Engineer, Picsel UK Ltd. #30 4 years ago

    I have heard that Microsoft Game Studios are a bit strapped for cash at the moment.

    * FASA being dissolved
    * Long-time partner Bizarre bought by another publisher
    * MS failing to agree terms for a Crackdown sequel
    * Bungee being sold off

    That would all fit as I see it. They'd better be careful, though, Xbox 360's lead has been built on quality platform-exclusive games so far.

  • SBfistfun #31 4 years ago

    ZOMFG MS are teh D00med!

  • Bumhug360 #32 4 years ago

    "There is also the other side of the coin - Bungie have no ideas what to do, and MS aren't happy about that. "

    Could very well be that Bungie want to do Halo 4 and MS dont ;)

  • kangarootoo #33 4 years ago

    "I have heard that Microsoft Game Studios are a bit strapped for cash at the moment."

    Since when was any part of MS strapped for cash?

  • LazyDan #34 4 years ago

    Let this be true and let Bungie hold the rights to Halo (less likely than Osama and Madeleine McCan appearing together on an episode of Loose Women,) and then let Master Chief be in a Smash Bros game :D

  • HarryB #35 4 years ago

    no bizarre, no bungie
    we're fucked!

  • Goffee #36 4 years ago

    Did Bungie jump or were they pushed???? I thank you (C)2000ish

  • RexRunti #37 4 years ago

    Firstly there is no Halo 4! This has been stated several times over by pretty much everyone involved.

    Secondly Microsoft own Bungie and any IPs originally owned by Bungie such as Halo (but not Oni, that's owned by Take2).

    Halo Wars is not being made by Bungie!

    If eveyone at Bungie got up and said "MS sucks I'm quitting", MS would still own Bungie and could still release a generic FPS labelled "from the makers of Halo".

    MS not responding to this story does not mean it's true, it could just mean MS are thinking "if we don't respond people will think it's true, but it's not, so when there is a rumour that it was an XBox 360 who kidnapped Madeline McCann and we don't respond people won't think it's true even though it is."

    Of course MS could sell the name "Bungie" for several mil and keep all the staff afterall it only bought them for one game and now that's finished it doesn't need the name anymore.

  • kendoguk #38 4 years ago

    Even if they did bugger off Bungie couldnt do anything with Halo again as its owned by Ms just like the PGR series

  • smelly #39 4 years ago

    its not as if halo is any good anyhows... (wonders what score it wouldve got without microsoft publishing it)

  • Atari_Boy #40 4 years ago

    "Since when was any part of MS strapped for cash?"

    The entertainment division is, which is now one unit comprising of Zune, MGS, and the Xbox Hardware Team.

    They have to turn a profit soon (2~3 at the very most)

    Solution is to cut internal costs down by (A) Not buying Bizarre (B) Selling off Bungie now that Halo 3 is out (C) Sell off Rare and its IP's (D) Honour existing publishing contracts with current first party/in house teams then keep only the successful games, closing down the rest and selling them off.

    Have one of the remaining in house/first party teams work on Halo “X” for new console due in three-ish years time.

    Well, that’s just my take on it!

  • Les #41 4 years ago

    "I've never understood why western developers get successful and instead of using that to their advantage (with the exception of valve) they grab the money, grow gigantic egos and think they can carry a company on their own."

    No? It's called capitalism: the cornerstone of the Western world... ;)

  • Les #42 4 years ago

    "Of course MS could sell the name "Bungie" for several mil and keep all the staff afterall it only bought them for one game and now that's finished it doesn't need the name anymore."

    Theoretically they could. But it's unlikely they'd find a buyer that stupid...

  • J.C #43 4 years ago

    Did'nt Bungie state the next thing for them was the 'Peter Jackson thing which is coming alone well...'

    Funny you should say that. i heard a "rumour" that this project will match crysis for visuals, and the 360 will heat a 3 bedroom house when running it.

    That last bit was a lie, and the rest of it could be to.

  • Steroyd #44 4 years ago

    @RexRunti

    Didn't Nintendo own Rare and sell them off to MS?

    Besides being owned by Nintendo Rare was able to keep some of their IP's like PD, BK and Conker, interestingly the only thing to come from Bungie under MS is Halo so I wonder if the contract was just for that one IP.

    The rumour BS or not brings up some interesting points.

  • belziah #45 4 years ago

    Total bollocks.

    But who here hasnt been wrong before. Surprised MS hasnt totally squashed it.

  • AOFanboi #46 4 years ago

    Come back to the fold and make us more Myth games as good as Myth II: Soulblighter.

    Sincerely, the Mac community.

  • The-Bodybuilder #47 4 years ago

    >"its not as if halo is any good anyhows... (wonders what score it wouldve got without microsoft publishing it) "

    Still more than MP3.


    /sniggers

  • Drakron #48 4 years ago

    God.

    Microsoft OWNS Bungie, if there is a "break-up" its going to be team members leaving but the company remains in Microsoft hands.


  • yagisencho #49 4 years ago

    Arbiter claimed:
    "Microsoft are having a very bad time right now, by their standards anyway. Vista has flopped badly, and their hold on the server market has been on a consistent decline for the past few years."

    10 million Vista copies sold per month = flop?
    [link url=http://www.xbitlabs.com/news/other/display/2007072 6224717.html
    ]http://ww w.xbitlabs.com/news/other/displ...[/link]

    These server trend lines *appear* to be moving upward...
    [link url=http://news.netcraft.com/archives /2007/08/06/august_2007_web_server_survey.html
    ]http://ne ws.netcraft.com/archives/2007/0...[/link]

    Double-digit revenue and EPS growth
    [link url=http://www.microsoft.com/msft/earnings/FY07/earn_ rel_q4_07.mspx
    ]http://ww w.microsoft.com/msft/earnings/F...[/link]

    Have any other nuggets of wisdom to share with us, Arbiter?

  • BadBoyBonner #50 4 years ago

    I for one think something is afoot.

    I can not belive that the entire staff of Bugie, if working only on Halo 3 would take so long to make what is effectively an Xbox engine update.

    As for the moves of late (Bizzare etc) I think MS shot themselves in the foot with the price they paid for Rare, not just becasue of that move but the precedent in price that it set for what MS was willing to pay.

    Subsequently trying to buy companies for less, that have outsold Rare many times over has probably lead to them giving MS the finger.

  • Steroyd #51 4 years ago

    @Dakron

    The word is that the founders of Bungie are buying the company off MS to be independant with MS having first refusal of whatever Bungie comes up with it sounds plausible.

  • MENTAL1ST Verified Senior Software Engineer, Picsel UK Ltd. #52 4 years ago

    There is a degree of independence between divisions of MS. I think there are some rumblings of dissatisfaction with the amount of money the other parts of the company are pouring into the games publishing bit. There was that infamous article earlier this year in some highbrow US paper or magazine (the WSJ?) saying that MS should just dump Xbox and Zune altogether and return the fat profits from the rest of the corporation to shareholders.

    If key people at Bungie are talking about leaving, then it makes more sense for MS to sell 'Bungie' and its name, with potentially all of its existing ip apart from the Halo name which is probably MGS's biggest asset, and which they're using for Ensemble's Halo Wars in any case. That way, they can make some money back rather than just having all their key development staff walk out the door.

    It'd be like EA selling back Bullfrog to Molyneux and company rather than having them just leave and set up Lionhead and its associated other studios, then letting the Bullfrog name crumble into the dust.