Overview
- IO said Tuesday that it has regained full ownership of Project Fantasy and will continue development funded internally.
- The studio confirmed it is closing its Istanbul office and has begun a process of layoffs to rebalance resources and protect its long-term independence.
- Reporting by Bloomberg and others identified Xbox as the external funder that ended its support, a move that preceded Microsoft’s wider Xbox restructuring.
- Some outlets report the Istanbul closure will cost about 40 jobs, but IO has not given a final headcount and said it is focused on supporting affected staff.
- The change shifts financial risk for the long-running online fantasy RPG back to IO and leaves Project Fantasy’s scope and schedule open to revision as the studio prioritizes core AAA titles.