HomeLeaksXbox Cancelled Rare’s Everwild and ZeniMax's New MMORPG IP - Report

Xbox Cancelled Rare’s Everwild and ZeniMax’s New MMORPG IP – Report

Summary

  • Rare’s long-quiet project Everwild has been reportedly cancelled.
  • ZeniMax Online’s unannounced MMO project, codenamed Blackbird, has also been scrapped.
  • Both cancellations are tied to sweeping Xbox layoffs affecting nearly 9,000 staff.

Xbox reportedly cancels Rare’s Everwild and ZeniMax’s MMO project amid layoffs

As part of Microsoft’s ongoing restructuring, two major Xbox projects have reportedly been cancelled: Rare’s mysterious title Everwild and ZeniMax Online Studios’ unannounced MMORPG, previously known internally as Project Blackbird.

The news follows confirmation of widespread layoffs at Microsoft, with nearly 9,000 employees affected.

According to a report from Windows Central, Everwild—originally revealed in 2019—has been officially scrapped. The game, once considered a spiritual successor to Viva Piñata, had been in various stages of development for over a decade.

Despite a 2021 trailer and reassurances from Xbox earlier this year that the title was still in progress, the game has now been quietly shut down. No official reason has been provided yet, but speculation suggests the decision may have been driven by cost-cutting or development hurdles.

Bloomberg journalist Jason Schreier backed up the cancellation report, and you can find his confirmation on BlueSky. This marks a disappointing end to what was once one of Rare’s most anticipated new IPs since Sea of Thieves.

BREAKING: As part of today's cuts, Xbox has canceled the troubled Rare game Everwild, according to people familiar. News on the job cuts is coming in drips — not sure why Xbox didn't announce it all at once — but I'll report what I can as I confirm it.

Jason Schreier (@jasonschreier.bsky.social) 2025-07-02T14:04:33.426Z

ZeniMax’s Project Blackbird was also shelved

Also caught in the wave of Xbox cancellations is an MMO project from ZeniMax Online Studios, the team behind The Elder Scrolls Online.

The game, which had been in development since 2018, was known by its codename Blackbird—previously Kestrel. The fantasy MMO was expected to build upon ZeniMax’s experience with branching narrative and live-service content, taking cues from games like Mass Effect and Star Wars: The Old Republic.

With more than 200 developers attached to the project by 2022, Blackbird was seen as the studio’s future anchor as The Elder Scrolls Online matured. However, it now appears to have been quietly cancelled during this latest round of layoffs.

BREAKING: The new MMORPG project from Zenimax Online Studios, maker of Elder Scrolls Online, has been canceled as part of the Xbox layoffs, sources tell Bloomberg News. The project, code-named Blackbird, had been in development since 2018. Still more news to come this morning.

Jason Schreier (@jasonschreier.bsky.social) 2025-07-02T15:05:30.540Z

ZeniMax will reportedly continue to support The Elder Scrolls Online with new updates and expansions. There’s no word yet on what’s next for the team or how many developers remain after the restructuring.

Despite these cancellations, Microsoft still has several high-profile games in the pipeline, including Fable, Perfect Dark, Gears of War: E-Day, and a new Halo project. Perfect Dark remains unconfirmed for now.

Naaz
Naaz
Naaz is a gaming fanatic with a knack for sniffing out leaks and rumors before anyone else. Known for her witty takes and sharp insights, she’s the go-to person for all things gaming gossip. When she’s not hunting for the next big scoop, you’ll find her perfecting her skills in her favorite multiplayer games

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