The studio developing the Phantom Dust reboot, Darkside Games, has been rumored to have shuttered its business after Microsoft canceled the game, which was in development for the Xbox One.
Phantom Dust was announced during Microsoft’s E3 2014 presentation as one of its leading titles, so the news—assuming it’s true—should come as a serious disappointment to fans of the original game looking forward to a sequel.
According to sources who spoke to Kotaku, the studio fell upon the axe blade when Microsoft pulled out of Phantom Dust’s development. While the studio has not issued any official statements on the matter, Microsoft has since confirmed that Phantom Dust's development continues.
“Microsoft partnered with Darkside Game Studios in the development of Phantom Dust, but our working relationship has now ended,” a spokesperson said in a statement.
“We have great respect for their studio and their work in the industry. While we do not have anything new to share on Phantom Dust at this time, we can confirm that development of the title continues. We look forward to sharing more details on the game as we get closer to release.”
Kotaku’s sources claim that the studio was blindsided by the Microsoft decision. It had employed 50 staff and was working on the Phantom Dust reboot as its first title.
