Christian Elverdam
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007 First Light studio IOI facing layoffs as Xbox pulls funding for Project Fantasy RPG
Xbox has withdrawn funding and publishing support for IO Interactive's online fantasy RPG, Project Fantasy. This decision will lead to layoffs at the Hitman and 007 First Light developer. Xbox stated they are re-evaluating investments to focus on their highest priorities, though they maintain their overall investment in games remains the same.
After 007 First Light, IO Interactive's next game probably won't be another James Bond or a Hitman, but rather something else entirely
IO Interactive's next major project, codenamed Project Fantasy, will be an online fantasy RPG and a new intellectual property, rather than a James Bond or Hitman title. While the studio will continue to support 007 First Light with new content, a dedicated team is actively developing Project Fantasy, which is described as a shared world experience designed for long-term expansion.
Jobs Roundup: February 2026 | UK games publisher PQube appoints Dominic Wheatley as chairman
Several key appointments and leadership transitions have occurred across the games industry. Dominic Wheatley has been named chairman of PQube, Ricardo Briceno is the new CEO of Gamefam, and Craig Cincotta has returned to Xbox. Additionally, Christie Golden joins IO Interactive as principal writer, and Joshua Mills takes over as creative director for Rainbow Six Siege at Ubisoft Montréal.
