Phantom Dust’s developer, Darkside Games, may have been shuttered, but the game is definitely still in development. Want proof? New production images have emerged.
These are images of the new Palace stage, and as you can see, they already demonstrate a high level of detail, and look like a fun place to have some aerial and / or theatrical battles. The palace is not in the best of shape; trees have taken over all around the palace, opening up the roof, destroying the fine architectural design, but perhaps adding more personality to the stage.
It’s also interesting that we see the stage heavily in shadow. This means that the palace is either covered up (possibly by taller trees) from the outside, or that the stage is set during an eclipse or the middle of the night when and where moonlight is at its brightest.
A spokesperson did confirm that the game was well still in development shortly after the earlier announcement, so we can only assume that the replacement studio has already been assigned before they did so. It’s not clear why they wouldn’t name the new studio yet, but perhaps there is a good reason for this decision.
Phantom Dust will be an exclusive for the Xbox One. You can see a gallery of the images below.