Before cancelling ZeniMax's Destiny-style MMO shooter, Xbox executives reportedly enjoyed early demos so much that the controller had to be pulled from Phil Spencer's hands

Phil Spencer, chief executive officer of gaming at Microsoft Corp., arrives to court in San Francisco, California, US, on Wednesday, June 28, 2023. Microsoft and Activision Blizzard CEOs are expected to testify to persuade a federal judge in California to reject the Federal Trade Commission's effort to block their $69 billion deal. Photographer: Philip Pacheco/Bloomberg via Getty Images.

Yesterday, Microsoft started its latest round of layoffs, aiming to eliminate 9,000 jobs after previously cutting more than 12,000 employees over the last two years. The latest downsizing has led to studio closures and game cancellations—including Blackbird, an unannounced MMO in development at ZeniMax that Xbox executives were reportedly thrilled about before abruptly killing the project.

Bloomberg's Jason Schreier reports that production for Blackbird began at ZeniMax in 2018. A Destiny-esque third person shooter MMO with a scifi noir aesthetic, Blackbird was being developed by a team of 300 employees. Its gameplay seemingly placed a greater emphasis on verticality and acrobatics, offering traversal tools like grappling hooks, wall climbing, and air dashes.