xbox

IO Interactive begins layoffs after Xbox ends funding for Project Fantasy

IO Interactive has started layoffs after an external partner ended its relationship, affecting development of the unlaunched Project Fantasy. Xbox confirmed it was the partner and says it has pulled funding as it reallocates investments. IO calls the cuts short-term, pledges support for affected staff, and says Project Fantasy remains in development; the studio's 007 First Light recently sold 3 million copies.

• Layoffs underway after partner relationship ended
• Xbox confirmed it was the partner and pulled funding
• IO says cuts are short-term and will support affected staff
• Project Fantasy continues in development; 007 First Light sold 3M copies