By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
GamexploreGamexplore
  • Home
  • News
  • PC Game
  • Mobile
  • VR News
  • Hardware
  • Guides
  • Reviews
  • Upcoming
Reading: IO Interactive’s Project Fantasy Faces Layoffs After Xbox Ends Partnership
Share
Notification
GamexploreGamexplore
Search
  • Home
  • News
  • PC Game
  • Mobile
  • VR News
  • Hardware
  • Guides
  • Reviews
  • Upcoming
Follow US
© 2025 All rights reserved | Powered by Gamexplore
Gamexplore > My Bookmarks > News > IO Interactive’s Project Fantasy Faces Layoffs After Xbox Ends Partnership
News

IO Interactive’s Project Fantasy Faces Layoffs After Xbox Ends Partnership

June 30, 2026 3 Min Read
Share
3 Min Read
IO Interactive’s Project Fantasy Faces Layoffs After Xbox Ends Partnership
SHARE

With layoffs around almost every corner in the industry these days, it’s now IO Interactive’s turn to announce the same. But this isn’t the result of 007 First Light failing – on the contrary, it’s due to Project Fantasy and the conclusion of a partnership with an “external partner.”

“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,” it said on Twitter.

“Project Fantasy is a game, a world, and an IP that we absolutely love and remain 100% committed to, now and in the future. This wonderful universe will see the light of day.”

If you’ll remember, however, leaked documents from the FTC’s case against Microsoft indicated that the latter was the partner in question. In an intriguing twist, it actually confirmed the same to Bloomberg while reassuring that its gaming investment isn’t “reducing.”

“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,” a spokesperson told Jason Schreier.

This is far from the first time that Xbox backed out of major projects, causing untold upheaval. Avalanche suspended development on Contraband after the last round of mass layoffs at Microsoft, and the project has effectively been cancelled. Romero Games faced a similar dilemma with its upcoming shooter – although it was saved, it’s since been “completely redesigned.”

See also  Xbox Series X/S Development Kit Prices Have Gone Up From $1,500 to $2,000 – Rumour

For what it’s worth, Project Fantasy – announced in February 2023 as an online fantasy role-playing game – isn’t dead, and IO Interactive remains committed to it. The real question is whether finding a new publisher is necessary for it to “see the light of day.” As always, stay tuned for more updates in the coming days, especially as we near alleged record layoffs at Xbox.

Dear gaming community,

For a good while, it has been all positive news from IO Interactive. We remain humbled and honored by the response to our latest outing with a young, unproven Bond. A bold new story and a take on one of the most famous characters in entertainment, which…

— IO Interactive (@IOInteractive) June 30, 2026


You Might Also Like

Hopetown's devs accept that Disco Elysium’s shadow looms over them, but say the “seed of an idea” for a spiritual successor has evolved into “something different”

Yee-naw: Helldivers 2's director seems to be riding with Arrowhead's controversial anti-cowboy hat stance, boldly declaring "people don't wear hats on helmets"

Next Ghost Recon Enters Internal Alpha This Fall, Out in 2026 – Rumor

Xbox Could Have A “Neat” New Game Announcement at Gamescom, Claims Insider

Pragmata Director Regrets Announcing it Too Early

TAGGED:Game NewsIO InteractiveNewsProject FantasyXbox
Share This Article
Facebook Twitter Copy Link
Previous Article SAND: Raiders of Sophie Early Access Review – As Rough As Sand SAND: Raiders of Sophie Early Access Review – As Rough As Sand
Next Article Reports of Xbox pausing new Game Pass deals suggest service is changing Reports of Xbox pausing new Game Pass deals suggest service is changing
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Latest News

Meta Plans VR Glasses Strap Accessory for Active VR Gaming
Meta Plans VR Glasses Strap Accessory for Active VR Gaming
VR News September 29, 2026
Dungeons Of Eternity's Tomb Extraction Update Is A Rune-aissance For An Aging Game
Dungeons Of Eternity's Tomb Extraction Update Is A Rune-aissance For An Aging Game
VR News September 29, 2026
GTA 6’s Weather System Includes “Moving Storm Systems,” “Dense Atmospherics,” and Hurricanes
GTA 6’s Weather System Includes “Moving Storm Systems,” “Dense Atmospherics,” and Hurricanes
News September 29, 2026
Blizzard Promises 'Diablo 4' Support Even After 'Diablo 5' Launches
Blizzard Promises 'Diablo 4' Support Even After 'Diablo 5' Launches
PC Game September 29, 2026
The Witcher 3 Wild Hunt - Remastered
The Witcher 3: Wild Hunt Sets New All-Time Concurrent Player Record on Steam With Remastered Release
PC Game September 29, 2026
Fight or Kite: Is mecha MMO RF Online Next actually a game?
Fight or Kite: Is mecha MMO RF Online Next actually a game?
Mobile September 29, 2026
ARC Raiders_06
ARC Raiders is Replacing Raider Decks With Reward Passes in Frozen Trail Update
News September 29, 2026
gamexplore gamexplore
gamexplore gamexplore

Welcome to Gamexplore, your go-to destination for everything gaming. We are dedicated to delivering the latest updates, in-depth insights, and expert analysis from the ever-evolving gaming industry.

Editor Choice

Nintendo Switch 2 Tops US Sales in March, Drives Increase in Overall Hardware Spending
Where to find high security lockboxes in The Outer Worlds 2
Street Fighter 6’s Upcoming Roster Addition Alex Gets Teaser Trailer Ahead of Spring Release
Fisch codes for May 2025

Trending News

Evil Inside VR Creators Reveal Their Next Game, Order 13 VR
Donkey Kong Bananza Was Originally Envisioned for the Switch 1 – Producer
Pacific Drive – Endless Expeditions Update Goes Live on April 3rd, Adds New Maps
Resident Evil Requiem Trailer Teases Sherry Birkin and Leon’s Return to Raccoon Police Department HQ
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms of Service
Reading: IO Interactive’s Project Fantasy Faces Layoffs After Xbox Ends Partnership
Share
© 2025 All rights reserved | Powered by Gamexplore
Welcome Back!

Sign in to your account

Lost your password?