xbox

Microsoft ends funding for IO Interactive's Project Fantasy

IO Interactive announced an external partner has pulled funding for Project Fantasy, the online fantasy RPG it revealed in 2023. The partner was confirmed as Microsoft, which says it is refocusing investment priorities amid broader Xbox restructuring. IOI said the loss of funding will lead to immediate staffing decisions and it will support affected employees. The announcement follows IOI's recent commercial success with 007 First Light.

• Microsoft confirmed as the partner that withdrew funding
• Project Fantasy development is now impacted
• IO Interactive announces immediate staffing decisions, likely layoffs
• Microsoft is reassessing investments during Xbox restructuring