Swedish video game holding company Enad Global 7 has announced the cancellation of a Marvel-themed massively multiplayer online game that was in development at Daybreak Games.
In an official statement posted to the company website, EG7 explained the decision was "based on the re-evaluation of the development risk profile, size of the investment, and the long-term product portfolio strategy for the group."
The company had reportedly planned to invest SEK 500 million ($50.7 million) in the Marvel project over the next three years.
That investment will now be diversified across multiple, smaller projects, including major upgrades to The Lord of the Rings Online and DC Universe Online, as well as "new game opportunities with our first party, original IPs."
As a result of this cancellation, EG7 will take a writedown — essentially a financial loss — of SEK 230 million ($23.3 million). There's no word on if the decision will result in layoffs at Daybreak, which has already suffered from a number of staffing cuts in recent years.
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Daybreak's Marvel MMO was first outed in EG7's Q3 2021 investor presentation.
The untitled game was in development at Dimensional Ink Games, a division of Daybreak Game Company, and led by Jack Emmert, the lead of DC Universe Online who also helmed City of Heroes.
Unfortunately, this isn't the first Marvel project that has been scrapped at Daybreak. The studio was reportedly working on another Marvel MMORPG that was canceled in 2018, resulting in layoffs at the company. Despite the popularity of Marvel on the big and small screens, the brand has struggled in the video game department. Square Enix's Marvel's Avengers, developed by Crystal Dynamics and published by Square Enix, has been a major disappointment. And while Eidos Montreal's Guardians of the Galaxy was much better received by gamers, its sales failed to live up to Square Enix's lofty expectations.
