Everwild from Rare Cancelled Amidst Layoffs at Xbox, Sources Say

According to Andy Robinson’s report in Video Game Chronicle (VGC), sources familiar with the project have informed team members that Everwild, a game in development for over a decade, has been cancelled. This news comes amidst significant layoffs at Microsoft and Xbox, which were officially announced on Wednesday. The same sources told VGC that these employees are likely to lose their jobs as part of a broader restructuring at Rare, the studio behind Sea of Thieves. Everwild’s design was essentially rebooted from scratch in 2021, with veteran designer Gregg Mayles appointed to lead the project. Mayles is one of Rare’s most experienced designers, credited with leading development on Donkey Kong Country, Banjo-Kazooie, Viva Piñata, and Sea of Thieves. Even with its prototyping phase included, Everwild had been in development for over a decade, with anonymous developers indicating they struggled to establish a clear direction for the game even after a recent project reset. Rare first announced Everwild in November 2019 and released another trailer in July 2020. Updates on the game have been scarce since then, apart from Xbox Games Studios head Phil Spencer’s insistence earlier this year that progress was being made on the title.

Founded in 1985, Rare is one of the UK’s most storied game developers, best known for Battletoads, Donkey Kong Country, GoldenEye 007, and Banjo-Kazooie. Microsoft acquired Rare in 2002 and, since then, the studio has released titles such as Kameo, Viva Piñata, Kinect Sports, and Sea of Thieves for Xbox. Later, Matt Booty, who was then head of Xbox Game Studios, stated that the Everwild team at Rare wanted to ensure the game was truly special before showcasing it publicly again.

For those looking to delve deeper into the implications of Everwild’s cancellation and the restructuring at Rare Studios, Sophie Laurent’s insightful piece “Everwild Canceled” is a must-read (published on July 2, 2025). This article provides a comprehensive overview of the recent layoffs and their connection to Microsoft Gaming’s broader strategy. Sophie offers context on Everwild’s development journey since its initial announcement in 2019 and explores the uncertainties surrounding Rare’s future projects. Head over to Everwild Canceled to learn more about this significant shift in the gaming industry.