Former Elder Scrolls Online studio head Matt Firor has finally spoken about his sudden exit from ZeniMax Online Studios, confirming that Microsoft’s sweeping layoffs and project cancellations—including the shutdown of his long-in-development MMO, codenamed Project Blackbird—directly led to his resignation.
In a message shared on Bluesky on January 1, Firor explained that he is not “directly involved” with any new projects founded by former ZeniMax Online developers, though he is “informally advising” some of them. However, the more pressing question for many fans was why he chose to leave the studio after nearly two decades.
“The most obvious explanation is the correct one,” Firor wrote. “Project Blackbird was the game I had waited my entire career to create, and having it canceled led to my resignation. My heart and thoughts are always with the impacted team members, many of whom I had worked with for more than 20 years, and all of whom were among the most dedicated and talented developers in the industry.”
Firor officially departed ZeniMax on July 2, 2025, ending an 18-year tenure with the company. That same day, reports confirmed that Project Blackbird—described as a Destiny-style looter shooter that had been in development since 2018—had been caught in Microsoft’s latest round of layoffs, which hit Xbox and its studios particularly hard. Several other projects were also canceled, including Rare’s long-troubled Everwild.
According to reports, Xbox chief Phil Spencer, a well-known Destiny fan, was so impressed with Project Blackbird that fellow executive Matt Booty reportedly had to pull him away during a meeting because he couldn’t stop playing.
Microsoft’s decision to cut projects despite positive internal reception is nothing new. Adding insult to injury, Spencer defended the layoffs during the same period, stating that Xbox’s platform, hardware, and game roadmap had “never looked stronger,” attributing that strength to the “tough decisions” made in recent years.
As for Firor’s future, he says he hasn’t fully mapped it out yet. While he isn’t “totally sitting on the sidelines,” he hasn’t seriously considered starting a new studio of his own. For now, he’s focused on making investments in smaller teams that he believes will play a significant role in shaping the future of the industry.
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