Since Microsoft announced in July that Xbox Entertainment Studios would be shutting down, the studio has begun looking for a new home and recently spoke with Warner Bros.

Sources revealed to The Hollywood Reporter that the Santa Monica-based studio reached out to Warner Bros. and talked about becoming a standalone production under the larger film studio.

The source noted that should something come together, XES could merge with YouTube entity Machinima.

While there is a little hope the fledgling studio meant to produce TV series for Xbox could survive, a Warner Bros. spokeswoman threw a little cold water on the issue, noting it was simply a discussion between the two, at the moment.

Warner Bros. is "constantly having preliminary discussions regarding business opportunities with numerous companies at any given time," the spokeswoman said. "A conversation is just that -- a conversation."

Microsoft CEO Satya Nadella announced in July that some of the 18,000 jobs set to be cut later in the year would be from XES, meaning nearly all minus some executives.

Still, while the studio was shutting down before it really released anything, the few announced products were set to keep going. One is the anticipated Halo series. 343 Industries revealed the full cast at Comic-Con.

Mike Colter is toplining Halo: Nightfall as Agent Jameson Locke, while Christina Chong, Steve Waddington and Luke Neal would co-star in the five-part miniseries.

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