The Cancellation of Outriders 2: Behind the Scenes with People Can Fly and Square Enix

Outriders 2 Canceled Due to Publisher-Developer Communication Issues

On June 2025, People Can Fly officially canceled the development of Outriders 2, their highly anticipated sequel to the original Outriders looter-shooter. The announcement came after ongoing difficulties in communication and collaboration with the publisher, Square Enix, which ultimately led to the project’s termination.

According to statements from People Can Fly, the cancellation was primarily caused by a lack of clear and effective communication channels between the developer and Square Enix. This breakdown hindered the alignment of creative vision and project management, making it impossible to continue development under the existing partnership.

The cancellation also affected other major projects at People Can Fly, including the code-named titles Gemini and Bifrost, resulting in significant layoffs within the studio. The developer emphasized their commitment to regrouping and focusing on new opportunities moving forward.

This development marks a significant shift for People Can Fly, known for their work on Bulletstorm and the original Outriders. Square Enix has yet to release an official comment regarding the cancellation.

Sources: People Can Fly official statements, Gamespot report (June 2025)

Image credit: People Can Fly / Outriders official artwork