A former employee from Turn 10 Studios has revealed that development on Forza Motorsport has been discontinued, with the team reportedly disbanded. Although Microsoft has not officially confirmed this news, the insider report aligns with recent industry-wide layoffs affecting multiple Xbox studios. This development marks a significant shift for fans of the long-running racing franchise, even as the broader Forza series continues under different projects.

Microsoft's recent restructuring has led to significant cutbacks across its gaming division, with several studios facing layoffs and project cancellations. While Turn 10 has remained silent on the matter, earlier reports suggested the Forza Motorsport team was preparing for potential downsizing. If confirmed, this would signal a major transition for the studio, which has been a cornerstone of Xbox's racing game lineup for two decades.

According to a Facebook post shared on Resetera, Fred Russell, a former Turn 10 employee, stated that the Forza Motorsport project had been shelved and its development team dissolved. While Russell did not provide further details, his past involvement with the franchise lends credibility to the claim. This news comes shortly after Forza Motorsport celebrated its 20th anniversary, raising questions about the future of the simulation racing series in light of Forza Horizon's continued success.

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Russell's statement did not indicate a complete shutdown of Turn 10 Studios, instead suggesting a strategic shift in focus. Industry analysts speculate that the studio may transition into a support role for the Forza Horizon series, which has proven highly profitable for Microsoft. Notably, Forza Horizon 5's multi-platform release, including its PS5 version, reportedly generated over $100 million in revenue, reinforcing Microsoft's cross-platform strategy.

The reported discontinuation of Forza Motorsport is part of a broader wave of cutbacks affecting Microsoft's gaming division. Other major franchises, including Halo, Call of Duty, and The Elder Scrolls Online, have also seen team reductions as part of cost-cutting measures. With Microsoft's restructuring still unfolding, further announcements regarding studio and project impacts may emerge in the coming weeks.