Update 07/02/2025: Xbox Game Studios lead Matt Booty revealed in an official Windows Central report that Everwild’s development has been halted, alongside discontinuation of Perfect Dark and related studio closures.

“After careful evaluation, we’ve chosen to cease production on Perfect Dark and Everwild while phasing out multiple undisclosed initiatives,” Booty stated.

Initial Report:

Following widespread reports of workforce reductions at Microsoft, Rare’s long-awaited project Everwild has emerged as the first major title affected. Sources from Bloomberg and VGC indicate the game’s termination aligns with broader organizational restructuring.

Originally unveiled in 2019 after years of development, Everwild’s cancellation contrasts with recent optimistic remarks from Xbox CEO Phil Spencer, who earlier noted the title was “advancing steadily.” Its abrupt end leaves lingering questions about its unfulfilled creative vision.

Prior leaks hinted at internal turbulence during production, with early stages lacking clear direction. Despite captivating teasers showcasing its artistic style, Rare never solidified core gameplay mechanics, leading to persistent speculation among fans.

Rare’s legacy of delivering innovative titles adds weight to this decision, as enthusiasts anticipated another genre-defining experience. The studio’s talent pool now faces disruptions, though exact layoff figures remain undisclosed amid Microsoft’s phased disclosure of its 9,000-employee downsizing strategy.