# IO Interactive says Project Fantasy isn't dead, but confirms that layoffs are happening

> XHitman and 007 First Light developer IO Interactive announced last week that it had lost funding for Project Fantasy, an "online fantasy RPG" first announced in 2023, and that as a result, "we have to adapt to this new…

- **Source:** [Pcgamer](https://www.pcgamer.com/gaming-industry/io-interactive-says-project-fantasy-isnt-dead-but-confirms-that-layoffs-are-happening/?utm_source=gearopen.com&utm_medium=referral&utm_campaign=feed&utm_content=6a4d19a2ac9dc5d6719f59f9)
- **Published:** 2026-07-07
- **Category:** Gaming
- **Tags:** #microsoft #xbox
- **Canonical:** http://localhost:4321/a/6a4d19a2ac9dc5d6719f59f9

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_GearOpen's distilled summary. The full original article is published at Pcgamer (source link above); GearOpen does not republish the source's full text._