Square Enix has confirmed that they’ve closed down Studio Istolia which was working on Project Prelude Rune. The studio was helmed by ex-Tales series Producer Hideo Baba, who left the studio a few months back.
Following evaluation of various aspects of Project Prelude Rune, development of the title has been canceled,
Studio Istolia is no longer in operation and we have been taking appropriate steps to assign studio staff to other projects within the Square Enix Group.
The game seemed to be in trouble when Baba formally announced his departure in April, claiming his departure due to “the change in Studio Istolia’s management policies…”
Studio Istolia opened its doors in 2016 and was announced as a new Square Enix studio alongside Project Prelude Rune in early 2017. The game was said to be a Fantasy RPG being developed on Unreal Engine 4 for the PS4.