Microsoft today announced that it will be closing down one of its internal developers, Halo Wars developer, Ensemble Studios. Also known for the mega successful PC RTS series Age of Empires, Ensemble Studios employees will stay on to finish Halo Wars and then go form a new studio within Microsoft to support Halo Wars after a launch and start work on other projects. Microsoft had this to say:

“Microsoft has decided to close Ensemble Studios following the completion of Halo Wars. After the closure, the Ensemble leadership team will form a new studio and has agreed to provide ongoing support for Halo Wars as well as work on other projects with Microsoft Game Studios.”

“The team at Ensemble has made invaluable contributions to the games industry with their Age of Empires and Age of Mythology games and with the highly anticipated release of Halo Wars. This decision does not reflect at all on Ensemble’s talent or the quality of Halo Wars.” That’s a relief, as Halo Wars does look very promising.

“This was a fiscally-rooted decision that keeps MGS on its growth path. While the decision to dissolve Ensemble was not an easy one, Microsoft is working to place as many Ensemble employees who do not move to the newly formed studio into open positions within Microsoft as possible.”

“We’re particularly excited about the titles we have in the pipeline and continue to evaluate additional opportunities to bring incredible games to life with the industry’s best. Our investment in games has never been greater than it is today.”

Let’s hope the employees of Ensemble Studios join the new internal Microsoft studio so they can still create great games and support the upcoming Xbox 360 exclusive Halo Wars. But why close the studio and create a new one with the same people? I’m sure we’ll get an answer soon enough.