GI.biz got a hold of the letter sent out by Phil Spencer, big cheese of Microsoft Games Studios, to the staff about the closure of Ensemble Studios. He explains that the closure isn't Ensemble's fault, it's Microsoft's; the company just needs to grow, and is "accountable for making tradeoffs and the right level of investments that will drive profit and future growth."
Of course, like any good break-up, Spencer still wants to be friends with the newly dejected. He says that Microsoft will try to pick up any employees not moving on to the new company being started by Ensemble's leadership team. Spencer emphasizes in the letter that Microsoft is still heavily invested in making video games, but is looking to put the money where it can get "the most ROI" (return on investment) -- and yet, Rare survives? We'll take that to mean Microsoft wasn't getting the bang for its buck from RTS-developer Ensemble.