Amazon has confirmed it remains committed to developing a video game based on the Lord of the Rings franchise, despite reports that its massively multiplayer online (MMO) project for the property has been cancelled. The company stated it is currently evaluating different concepts for the title.
The confirmation follows a report from earlier this week indicating that Amazon Games had pulled the plug on a free-to-play Lord of the Rings MMO. That project had been in development for several years and was seen as a major play for the e-commerce giant in the competitive online gaming sector.
In a statement provided to industry media, an Amazon spokesperson addressed the cancellation directly. “We are evaluating different concepts for a Lord of the Rings game,” the spokesperson said. “We remain committed to bringing an MMO to players, and this decision was not made lightly.”
The cancellation of the MMO represents a significant setback for Amazon Games, which has struggled to establish a foothold in the high-budget game development space. The company previously cancelled a high-profile MMO based on the “Crucible” intellectual property and experienced delays with its “New World” title.
Background on the cancelled MMO project
The now-cancelled Lord of the Rings MMO was first announced in 2019 as a collaboration between Amazon Game Studios and Chinese developer Leyou Technologies. Middle-earth Enterprises, the rights holder for the Lord of the Rings and The Hobbit literary works, licensed the property for the project.
Development faced multiple challenges, including the acquisition of Leyou by Tencent in late 2020, which introduced a new corporate stakeholder into the equation. Industry sources cited by multiple outlets noted that the deal created friction over creative control and financial terms, ultimately leading to a breakdown in negotiations between Amazon and Tencent.
Amazon Games has approximately 200 employees who were working on the MMO. The company has stated that it will attempt to reassign affected staff to other projects within the organization, rather than issuing layoffs.
The cancellation arrives at a time when Amazon is seeking to expand its gaming portfolio. The company’s “New World” MMO, launched in September 2021, generated significant initial interest but saw player numbers decline sharply in subsequent months. Amazon has continued to update the game with new content and features.
Implications for Amazon Games
The failure of a second major MMO project raises questions about Amazon’s long-term strategy in the gaming sector. The company has invested heavily in building a games division, including establishing multiple development studios and acquiring talent from established industry players.
Industry analysts point to the competitive nature of the MMO market as a significant barrier for new entrants. Major players like Activision Blizzard’s World of Warcraft and Square Enix’s Final Fantasy XIV command large, loyal player bases, making it difficult for new titles to gain traction.
Amazon’s commitment to the Lord of the Rings brand suggests the company sees value in leveraging the franchise’s established fan base. The company also holds the global television rights for the Lord of the Rings property and recently premiered the expensive series “The Rings of Power” on its Prime Video streaming service.
The exact nature of the concepts being evaluated by Amazon remains unclear. Options could include a smaller-scale single-player action role-playing game, a cooperative multiplayer experience, or a revived attempt at an MMO under different development terms.
No timeline has been provided by Amazon for when the company might announce a new Lord of the Rings game project. The company stated it will provide updates as development progresses.
Source: GamesIndustry.biz
