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Concept art of Ghost from Call of Duty from a cancelled multiplayer Crash Bandicoot game
(hexbear.net)
Eww 
In the end, Activision cancelled all Crash and Spyro projects and sent both Toys for Bob and Vicarious Visions into the Call of Duty mines, but Toys for Bob at least became independent afterwards
Edit: I'm currently watching the video this screenshot originated from and it's really depressing:
https://www.youtube.com/watch?v=PzHwPNPW2VM
At one point Activision got rid of Toys for Bob's dedicated art department since they figured they could just outsource art to contractors who they wouldn't need to give benefits to
This and the cancelled Halo Mega Bloks game (sorry about the annoying energy drink shilling in the guy's vid, it was the best vid I could find on it) are kinda baffling to me, I know Microsoft were probably seeing the success of the Lego video games and wanting their equivalent, but none of those are based on an originally M-rated IP.
From what I understand the Halo Mega Bloks were actually relatively popular among kids for a time, though maybe it was just millennial dads buying them for their kids
I found a YouTube link in your comment. Here are links to the same video on alternative frontends that protect your privacy: