I disagree. Assuming creative control over a studio by the publisher is generally seen as a big no-no, not just at Bungie and not just in video games, but everywhere. Activision regularly gets away with it because of how big they are.
Bungie should have backed O'Donnell 100% for the sake of their integrity.
O'Donnell had every right to be disgruntled IMO. He helped build Bungie from the ground up and is one of the 7 founding members (I.e the reason Bungie likes the number 7). He was trying to protect the integrity of his life's work and the company he built.
English
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Bungie backed up O'Donnell when he protested Acti.'s choice of music in the trailer. Bungie refused to fire him when he started acting out, giving a 'negative performance review', which equates a slap on the wrist. Bungie only fired him when he became a disturbance and a liability in the department he was supposedly running. That's backing him pretty hard.
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They took over music for a trailer at E3... Hardly taking creative control.
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Have you heard Fight for the Future.... there is a good reason his stuff was slashed out