IO Interactive has announced that they will be undergoing some layoffs due to Microsoft pulling their funding for IO’s new IP Project Fantasy.
IO Interactive will continue to develop the game but will either have to self publisher it or find a new party to provide funding for the project.
Xbox provided a statement to Bloomberg that said “taking a fresh look at where we invest so we’re focusing on our highest priorities.” “We’re not reducing our overall investment in games” “We expect to invest about the same in content as we did last year. What’s changing is where we’re investing and the kinds of projects we’re backing”.
This is just the latest in layoffs we’ve heard are coming regarding Xbox as several studios are apparently at risk of being shut down including Arkane Studios, Ninja Theory, Undead Labs, Double Fine Productions, and Compulsion Games.
You can find IO’s statement on the layoffs below.
