Phil Spencer Enjoyed ZeniMax Online Studios’ Blackbird Before its Cancellation – Rumour

Xbox Game Studios head Matt Booty had to reportedly pull the controller away from Spencer when he tried an early build in March.

Posted By | On 04th, Jul. 2025

Phil-Spencer

While there have been plenty of reports and rumours about the doom and gloom surrounding Microsoft’s recent decision to lay-off more than 9,000 of its employees, several in-development games have also reportedly been cancelled as a result. A new report indicates that one such game – a sci-fi shooter by the studio behind The Elder Scrolls Online, ZeniMax Online Studios – was in seemingly good shape. According to Bloomberg’s Jason Schrier, Microsoft Gaming CEO Phil Spencer even enjoyed an early build of the game from March.

According to one of Schrier’s sources, Spencer enjoyed the game, codenamed Blackbird, so much that Xbox Game Studios head Matt Booty had to physically pull the controller away from him. Since this is from a relatively recent build from March, the fact that the plug was pulled on the game came as a shock to quite a few developers.

“But Blackbird’s cancellation was particularly shocking because it had blown away executives at Xbox just a few months ago.” said Schrier’s source. “During the demonstration in March, Spencer was enjoying the game so much that Matt Booty, the head of Xbox Game Studios, had to pull the controller away so they could keep the meeting going, according to two people who were in the room.”

While not too many details about what Blackbird was going to be have been revealed, reports have indicated that it was going to be a co-op loot-based shooter in the vein of Bungie’s Destiny.

While things were seemingly going quite well for the development of the title, which had started back in 2018, Blackbird was yet to have entered its full production phase. The title was instead still in pre-production, with the long development timeline largely coming down to the fact that ZeniMax Online Studios was making an entirely new game engine to power the title.

The cancellation of the project also came as the studio was expanding its workforce in order to work on Blackbird. According to a report, the team working on Blackbird had been told by Booty last year that the decision to shut down studios like Arkane Austin and Tango Gameworks was specifically made in order to give Xbox the bandwidth to allow teams that need expanding the resources they would require.

In light of all of this happening at ZeniMax Online Studios and Microsoft in general, the studio also announced that its president, Matt Firor, will be leaving the company later this month. The announcement was made by Firor on social media, where he wrote about having worked at the studio for 18 years. Firor’s leadership roles will be taken over by new studio head Jo Burba, executive producer Susan Kath, and game director Rich Lambert.

“While I won’t be working on the game anymore, I will be cheering you on and adding to the thousands of hours I’ve already spent in-game,” wrote Firor in his announcement. “There are many more stories to be told, adventures to be had, and I know this amazing community will carry that shared legacy and success forwards.”


Amazing Articles You Might Want To Check Out!

Keep On Reading!

No, Final Fantasy 7 Remake Part 3 Isn’t a Shorter Game Than Rebirth, Clarifies Game Director

No, Final Fantasy 7 Remake Part 3 Isn’t a Shorter Game Than Rebirth, Clarifies Game Director

"It’s not about cutting out content; it’s making sure that it feels right, the speed at which the story pr...

Pokémon Legends: Z-A Was the Biggest Physical Game Launch in the US Since Tears of the Kingdom

Pokémon Legends: Z-A Was the Biggest Physical Game Launch in the US Since Tears of the Kingdom

Game Freak's latest had a strong debut in the region, both in physical units sold and overall dollar sales, ac...

ARC Raiders Trailer Paints a Post-Apocalyptic Picture of Hope Before Revealing Its Biggest ARC Yet

ARC Raiders Trailer Paints a Post-Apocalyptic Picture of Hope Before Revealing Its Biggest ARC Yet

The Queen seemingly has company, as a massive new ARC is revealed for Embark's extraction shooter ahead of thi...

Battlefield: RedSec is Free-to-Play – Battle Royale Confirmed for October 28th Launch

Battlefield: RedSec is Free-to-Play – Battle Royale Confirmed for October 28th Launch

The first battle royale mode in the series since Firestorm is dropping tomorrow and will be free for everyone ...

Former PlayStation Exec Says Chasing Live-Service Like Fortnite is like a “Mirage” on a “Sand Dune”

Former PlayStation Exec Says Chasing Live-Service Like Fortnite is like a “Mirage” on a “Sand Dune”

Shawn Layden spoke about his time at Sony working on single-player games, and the company's change in prioriti...

Former Halo: Combat Evolved Developer Says Halo: Campaign Evolved “Feels Genuine” and is “Gorgeous”

Former Halo: Combat Evolved Developer Says Halo: Campaign Evolved “Feels Genuine” and is “Gorgeous”

Marcus Lehto wrote about how impressive Halo: Campaign Evolved looks, noting that "it warms my heart to see Ha...