IO Interactive has been on a tear with the recently released 007 First Light, but an alarming announcement has been posted saying they’re closing their RPG Project Fantasy, and it’s likely XBOX’s fault.
IO Interactive has been very busy as of late, crafting new experiences in HITMAN World of Assassination, and is currently hard at work on the 007 First Light DLC. But a new report has emerged amid the messiness surrounding the current issues at XBOX, namely, the scope of layoffs being conducted there.
It appears IO Interactive was hard at work on a new RPG IP, “Project Fantasy,” and due to the turmoil over at XBOX (with impending layoffs), Project Fantasy has caught a stray. It turns out IO was working with XBOX to make Project Fantasy a reality, and now it will likely never see a proper release. A full statement regarding Project Fantasy can be seen below from IO.
IO Interactive says, “A relationship with an external partner on our own IP, Project Fantasy, has come to an end. This means we have to adapt to this new reality and its short-term consequences, including staffing decisions, which is what is happening as we write this update, and we are fully committed to supporting those affected through this challenging transition,” adding that Project Fantasy is “an IP that we absolutely love and remain 100% committed to.”

A Bloomberg report names XBOX as the third party responsible for the shake-up in Project Fantasy development. An Xbox spokesperson said, “We’re not reducing our overall investment in games […] What’s changing is where we’re investing and the kinds of projects we’re backing,” regarding what’s currently happening at XBOX. While the messiness at XBOX has continued to cascade (multiple studios, including Double Fine and even Arkane, are on the chopping block), IO Interactive has confirmed it will remain committed to the Project Fantasy IP with or without the third party, but layoffs among staff working on Project Fantasy are inevitable.
While IO Interactive remains “100% committed” to Project Fantasy, it remains to be seen whether it will release with this new hiccup in development.




