Released last May and met with significant losses, Lord of the Rings: Gollum has dealt a tough blow to its developer, Daedalic Entertainment, which recently announced it will no longer produce in-house video games. During an interview with German site Games Wirtschaft [], the company revealed that they will now focus solely on publishing video games, marking a dramatic shift. This transition means 25 out of the 90 employees at their Hamburg studio have been laid off, and Daedalic Entertainment is committed to assisting these staff members in finding new opportunities within partner companies. The company admits that the game’s failure has been a challenging lesson for them.Additionally, work on the second Lord of the Rings game, which had been underway for two years, has come to a halt to avoid repeating past mistakes. Prior to this setback, Daedalic Entertainment was known for releasing titles like State of Mind, Deponia, and The Pillars of the Earth, though their quality varied. This recent development marks an unprecedented challenge for the company, especially considering that Nacon acquired Daedalic Entertainment in February 2022 for over €50 million with high hopes for future success. Clearly, this decision has not turned out as planned…
