According to the latest rumors, both Crystal Dynamics – which recently announced another round of layoffs – and Warhorse, known for Kingdom Come: Deliverance, may be involved with the Lord of the Rings IP. The situation, however, appears more complicated than it first seemed, because the newest reporting suggests the two studios are not necessarily tied to the same project at all.

After rumors circulated that Warhorse Studios, the team behind the two Kingdom Come: Deliverance games, was working on a new Lord of the Rings title, Insider Gaming’s latest report appears to add some clarification to what is really happening with the next game set in Tolkien’s universe. According to the outlet, while it is possible that Warhorse is indeed working on a Lord of the Rings project, the specific rumored game currently being discussed is actually in development at Crystal Dynamics.

The studio is said to be handling this project alongside its upcoming Tomb Raider titles, Tomb Raider: Legacy of Atlantis and Tomb Raider: Catalyst. Insider Gaming adds that it was Crystal Dynamics, not Warhorse, that received backing from the Abu Dhabi Investment Office – ADIO – for the game that earlier reports described as a third-person open-world action title. Although previous rumors suggested a reveal could happen in the near future, Insider Gaming’s sources now claim the title is still a bit further out.

While Warhorse Studios certainly sounds like the kind of team that could produce a very interesting and highly enjoyable game based on such an iconic franchise, it also makes complete sense for Crystal Dynamics to be given the opportunity to tell a story set in Middle-earth. The studio operates under the Embracer Group umbrella and has clearly shown that it can work with major licensed IP. It will be interesting to see what kind of game this becomes, and if Warhorse really is making its own title, what shape that project might ultimately take. Embracer Group has made no secret of wanting to expand The Lord of the Rings into a significant gaming franchise alongside the books, films, and television productions.

There is always the chance that Embracer Group wants to turn all of this into a major live-service push, although neither Crystal Dynamics nor Warhorse is really known for that kind of work. Their strengths lie in single-player experiences, and hopefully Embracer is looking to capitalize on those strengths rather than forcing a live-service project onto studios that are far better at building focused solo adventures. Marvel’s Avengers already offered a pretty loud warning there.

Source: WCCFTech, Insider Gaming