Studio heads of The Initiative are getting another chance in the industry after Microsoft shut down the studio in July 2025. As reported by IGN, two of the project leads of the cancelled Perfect Dark game have been asked to take part in the creation of a new studio at 2K. Brian Horton joins as vice president and head of creative, while Darren Gallagher is senior vice president and studio developer head.
Here’s what a 2K spokesperson had to say regarding the new hires:
“With a combined six decades of AAA game-making experience across franchises like Tomb Raider, Call of Duty, Destiny, Marvel’s Spider-Man, Hitman, Deus Ex, and more, we’re thrilled to confirm Darrell Gallagher and Brian Horton have joined 2K for their next all-new venture. We don’t have additional details to share at this time, but look forward to sharing updates on their work in the future.”
Recruiting From The Rubble Of Layoffs
Microsoft’s decision to sunset The Initiative studio was highly shocking, particularly to me and some of my fellow writers here at Operation Sports. The Perfect Dark reboot was shaping up to be an awesome game, judging from the gameplay trailer. This game ultimately succumbed to the challenges of ambition and scope creep. The rapid recruitment of its leadership by a competitor like 2K showcases just how volatile the AAA development space can be at times.
And while the cancellation of Perfect Dark was the catalyst for this leadership shift, the industry fallout goes beyond just The Initiative. Discussion on Bluesky under Jason Schreir also centered on The Initiative’s development partner studio, Crystal Dynamics.
Darell Gallagher and Brian Horton will bring distinct and complementary skill sets to 2K’s new venture. As we’re leading up to 2026, Take-Two Interactive and 2K will also be looking for success with the upcoming WWE 2K26. As for the new studio, there’s no confirmation on what type of game they’ll be working on, but it will likely be a high-budget, narrative-heavy IP.
Those are the types of games Gallagher and Horton have the most experience with, and 2K’s current portfolio lacks a marquee, single-player action-adventure title. Well, apart from Grand Theft Auto, that is. The creation of this studio might help 2K aggressively enter a lucrative market that Microsoft finds itself struggling to fill following the loss of the Perfect Dark project. Time will tell how this new chapter unfolds over at 2K.
