← Back to Gaming INTSUM
Gaming INTSUM

Gaming INTSUM

Wednesday, May 20, 2026

Gaming Intelligence Summary — May 20, 2026

Date: 2026-05-20 Cadence: Daily Scope: Gaming industry news, releases, studio moves, platform changes, and tracked titles

Summary

The biggest story of the day is Embracer Group splitting into two public companies, with a new entity called Fellowship Entertainment taking over major IPs (Lord of the Rings, Tomb Raider, Deus Ex) and promising to "more actively" license dormant franchises to external partners. Warhorse Studios confirmed it's making an open-world Lord of the Rings RPG alongside a new Kingdom Come game. Hasbro cancelled the D&D action game helmed by Star Wars Jedi director Stig Asmussen less than a year after announcement. Civ 7's landmark "Test of Time" update went live, making the controversial age-switching mechanic optional. Sony's PS Plus price hike for new subscribers takes effect today. And CI Games formally terminated its Epic exclusivity deal for Lords of the Fallen 2, opening the door for a Steam release.

Findings

🏢 Industry & Business

  • Embracer Group splits into two companies. Embracer will spin off into Fellowship Entertainment (holding Lord of the Rings, Tomb Raider, Deus Ex, Legacy of Kain, Saints Row, TimeSplitters, Thief, and key studios including Eidos-Montreal and Warhorse) and a separate Embracer entity (retaining Aspyr, Limited Run Games, Plaion, and others). Fellowship will include an IP licensing department focused on finding external partners for dormant franchises — Deus Ex, Saints Row, TimeSplitters, and Legacy of Kain specifically called out. (Eurogamer, RPS, VGC)

  • Warhorse Studios confirms Lord of the Rings RPG. The Kingdom Come: Deliverance developer officially announced it's making an open-world Middle-earth RPG, alongside a new "Kingdom Come adventure" (possibly KCD3). The Lord of the Rings project had been rumored since early May. (Polygon, Eurogamer, RPS)

  • Hasbro cancels D&D action game from Giant Skull. The single-player Dungeons & Dragons action-adventure, announced last June and helmed by Star Wars Jedi: Fallen Order director Stig Asmussen, has been cancelled. Giant Skull is now seeking a new publishing deal. Hasbro's other D&D game, Warlock (from Invoke Studios), remains in development for 2027. (RPS, Eurogamer)

  • CI Games terminates Epic exclusivity for Lords of the Fallen 2. The separation agreement was settled April 14 but only now disclosed. The game will retain Unreal Engine 5 and Epic Online Services infrastructure. A Steam release is now possible. (GameSpot, Eurogamer, Game Developer)

  • Former Housemarque director launches Cosmic Division. Returnal game director Harry Krueger has founded Cosmic Division, a new Finland-based studio. Details on their first project are not yet public. (Eurogamer, Game Developer)

  • Sony sued over PS Plus tariff pricing. A lawsuit has been filed alleging Sony is benefiting from a "double recovery windfall" by raising PS Plus prices while also receiving tariff refunds. The PS Plus Essential price rises to $11/month for new subscribers effective today (May 20). (Game Developer, EventHubs)

  • Fortnite returns to the iOS App Store worldwide (except Australia). Epic Games signals this as its "final battle" with Apple. (MacRumors, Game Developer)

  • Microsoft launching improved Xbox Adaptive Thumbstick Toppers. An accessibility hardware update from Microsoft. (Game Developer)

  • Diablo 4 lead: AAA games taking 7–8 years, bad for junior hiring. Diablo 4 lead engine engineer Marcin Undak discussed the growing development cycle length and its impact on entry-level positions in the industry. (RPS)

  • Krafton exec tired of "Balatro with different cards" pitches. At Digital Dragons, Krafton's investment director expressed frustration with the flood of roguelike deckbuilder pitches. (RPS)

🎮 Releases & Updates

  • Civilization VII "Test of Time" update went live May 19. The largest update to date makes the controversial age-switching/civ-switching mechanic optional, introduces "Time-Tested Civs" (play one civ through all ages), a new Victories system, Triumphs, and major balance overhauls. (2K Newsroom, RPS)

  • Forza Horizon 6 launched. Playground Games' Japan-set open-world racer is the largest in the series, with a Goliath race lap of ~50 miles. Now on Xbox Game Pass. (GameSpot, Xbox Wire)

  • Lego Batman: Legacy of the Dark Knight launching soon (release time guides published). (Polygon)

  • Yoshi and the Mysterious Book (Switch 2 exclusive) reviews are positive — "breezy and charming." (Kotaku)

  • Outward 2 sets summer early access date with a "potato specs" trailer. (Eurogamer)

  • Far Far West (Steam early access) sells over 1 million copies in 3 weeks; publisher Fireshine Games rejects generative AI. (Eurogamer)

🔧 Platform & Policy

  • PS Plus Essential price rises to $11/month for new subscribers, effective May 20. Existing subscribers appear to be grandfathered at current rates for now. (Game Developer)

  • Plex raises lifetime pass price to $750 (from $250), effective July. Not gaming-specific, but relevant to media-consuming gamers. (Kotaku)

🎬 Industry Culture & Misc

  • Hironobu Sakaguchi doubles down on AI-generated FF6 remake trailer. The FF creator shared AI-generated "slop" imagery after praising an AI fan trailer, drawing criticism from fans. (Kotaku)

  • Broken Sword movie announced. The Sonic the Hedgehog production company is bringing the classic adventure game to the big screen. (Kotaku)

  • Super Mario Bros. movie directors sign Netflix deal. Michael Jelenic and Aaron Horvath will develop animated series and films exclusively for Netflix, with first-look rights for live-action. (Polygon)

  • FFXI player count remains stable after FF14 crossover and Welcome Back campaigns, defying Square Enix's expected decline. (PC Gamer)

  • 81-year-old Minecraft streamer swatted while fundraising for grandson's cancer treatment. (PC Gamer)

🎯 Tracked Titles

  • Path of Exile 2: Return of the Ancients (patch 0.5) launches May 29 — the largest update ever, completely revamping the endgame. Final major update before 1.0. (Polygon, PCGamesN)

  • Hytale: Update 5 (server browser/discovery system) noted in previous tracking. No new developments today.

  • Satisfactory / Enshrouded / Elite Dangerous / No Man's Sky / Arc Raiders: No new developments today beyond previously tracked items (ARC Raiders 16M sales, Enshrouding's Update 8).

Analysis

Embracer's structural split is the day's most significant industry move. By creating Fellowship Entertainment with a dedicated IP licensing arm, Embracer is effectively acknowledging that sitting on dormant franchises is less valuable than letting outside studios build new entries — a model closer to how movie IP licensing works. This could be very good news for fans of Deus Ex, Legacy of Kain, TimeSplitters, and Thief. The timing alongside Warhorse's Lord of the Rings RPG announcement is not coincidental — Warhorse sits under Fellowship, giving it direct access to the LotR IP Embracer acquired in 2022.

The D&D game cancellation is striking in its speed. Announced with fanfare last June, cancelled before it even got past the concept phase. It highlights Hasbro's volatility in digital gaming strategy — they're still betting big on Exodus (the Mass Effect-like from Archetype Entertainment) and Warlock from Invoke, but the Giant Skull cancellation suggests a cautious approach to greenlighting new AAA projects.

Civ 7's Test of Time update is a genuine course correction. Making the age-switching mechanic optional directly addresses the most divisive design decision in the game. Firaxis is clearly listening, but whether it's enough to restore the franchise's reputation after a rocky launch remains to be seen.

PS Plus price hike + tariff lawsuit = Sony under pressure. Raising prices while being accused of double-dipping on tariffs is a bad look. Expect this story to develop.

Flagged Items

  • ⚠️ Sony PS Plus tariff lawsuit — early stage; specifics of "double recovery windfall" claim need verification. Single source on the lawsuit details.
  • ⚠️ Giant Skull / D&D cancellation — Asmussen says "things are good" at the studio, but no confirmed new project yet.
  • ⚠️ Embracer split — planned for "next year" per announcement; structural details still emerging. Fellowship Entertainment's Nasdaq Stockholm listing timeline unclear.
  • ⚠️ Warhorse LotR RPG — confirmed but no gameplay, no release window, no platform details yet. Budget rumored at ~$100M but unconfirmed.

Sources

  • Eurogamer — "Embracer split: Deus Ex, Legacy of Kain, Saints Row" — https://www.eurogamer.net/embracer-split-deux-ex-saints-row
  • Rock Paper Shotgun — "Deus Ex, Saints Row, TimeSplitters licensed to external partners" — https://www.rockpapershotgun.com/deus-ex-saints-row-and-timesplitters-might-be-lent-out-to-external-partners-embracer-say-possibly-paving-the-way-for-new-entries
  • VGC — "Embracer announces plan to split into 2 companies" — https://www.videogameschronicle.com/news/embracer-announces-plan-to-split-into-2-companies-as-tomb-raider-and-lotr-spun-off/
  • Polygon — "Warhorse LOTR RPG confirmed" — https://www.polygon.com/lord-of-the-rings-rpg-warhorse-studios-kingdom-come-deliverance-3-announcement/
  • Eurogamer — "Kingdom Come Deliverance studio making LOTR RPG" — https://www.eurogamer.net/kingdom-come-deliverance-lotr-lord-of-the-rings-rpg
  • Rock Paper Shotgun — "Hasbro cancel D&D action game" — https://www.rockpapershotgun.com/hasbro-cancel-dungeons-and-dragons-action-game-helmed-by-star-wars-jedi-fallen-order-director-leaving-studio-hunting-for-new-publishing-deal
  • Eurogamer — "Star Wars Jedi director D&D game cancelled" — https://www.eurogamer.net/star-wars-jedi-dungeons-dragons-game-cancelled
  • GameSpot — "Lords of the Fallen 2 Epic exclusivity canceled" — https://www.gamespot.com/articles/lords-of-the-fallen-2s-epic-exclusivity-deal-canceled/1100-6540050/
  • Game Developer — "CI Games and Epic terminate LotF2 publishing deal" — https://www.gamedeveloper.com/business/ci-games-and-epic-games-terminate-lords-of-the-fallen-ii-publishing-deal
  • Eurogamer — "Cosmic Division: Returnal director launches new studio" — https://www.eurogamer.net/returnal-director-launches-cosmic-division-studio
  • Game Developer — "Sony sued for tariff double recovery" — https://www.gamedeveloper.com/business/sony-is-being-sued-for-allegedly-benefiting-from-tariff-refunds
  • Game Developer — "PS Plus price increase for new customers" — https://www.gamedeveloper.com/business/sony-increasing-the-price-of-playstation-plus-for-new-customers
  • Game Developer — "Fortnite returns to App Store" — https://www.gamedeveloper.com/business/fortnite-returns-to-the-app-store-everywhere-except-australia
  • MacRumors — "Fortnite returns to App Store worldwide" — https://www.macrumors.com/2026/05/19/fortnite-returns-to-app-store-worldwide/
  • 2K Newsroom — "Civ VII Test of Time update" — https://newsroom.2k.com/news/sid-meiers-civilizationr-vii-test-of-time-update-now-available
  • Rock Paper Shotgun — "Civ 7 Test of Time update" — https://www.rockpapershotgun.com/the-long-awaited-civilization-7-test-of-time-update-is-here-bringing-a-huge-suite-of-changes-with-it
  • GameSpot — "Forza Horizon 6 map and features" — https://www.gamespot.com/articles/forza-horizon-6-map-size-best-places-to-visit-and-how-to-reach-them/1100-6540006/
  • Xbox Wire — "Game Pass May 2026 Wave 2" — https://news.xbox.com/en-us/2026/05/19/xbox-game-pass-may-2026-wave-2/
  • Polygon — "Lego Batman release times" — https://www.polygon.com/lego-batman-legacy-of-the-dark-knight-release-time-edt-pdt/
  • Kotaku — "Yoshi and the Mysterious Book reviews" — https://kotaku.com/yoshi-and-the-mysterious-book-reviews-make-it-sound-perfect-for-people-going-into-it-with-the-right-level-of-curiosity-2000697519
  • Eurogamer — "Outward 2 early access" — https://www.eurogamer.net/outward-2-release-date-trailer
  • Eurogamer — "Far Far West sells 1M copies" — https://www.eurogamer.net/far-far-west-sells-one-million-copies
  • Rock Paper Shotgun — "AAA games taking 7-8 years" — https://www.rockpapershotgun.com/seven-or-eight-years-is-not-that-unusual-diablo-4-lead-says-aaa-games-are-taking-longer-to-make-which-is-bad-news-for-junior-applicants
  • PC Gamer — "FFXI player count stable" — https://www.pcgamer.com/games/mmo/final-fantasy-11-expected-a-sharp-player-decline-once-the-hype-from-the-ff14-crossover-and-welcome-back-campaigns-ended-but-that-never-came/
  • Kotaku — "Sakaguchi AI FF6" — https://kotaku.com/hironobu-sakaguchi-shares-his-surprise-at-everyone-hating-on-final-fantasy-6-remake-ai-slop-2000697526
  • Kotaku — "Broken Sword movie" — https://kotaku.com/broken-sword-movie-sonic-the-hedgehog-templar-2000697783
  • Polygon — "Mario movie directors Netflix deal" — https://www.polygon.com/netflix-super-mario-movie-directors-deal/
  • PC Gamer — "81-year-old Minecraft streamer swatted" — https://www.pcgamer.com/hardware/streaming/81-year-old-minecraft-streamer-swatted-while-raising-money-for-grandsons-cancer-treatment/
  • Kotaku — "Plex raises lifetime pass to $750" — https://kotaku.com/plex-burns-through-any-remaining-goodwill-by-raising-the-price-of-its-lifetime-subscription-500-2000697583
  • Polygon — "MTG fixing Spider-Man Arena issue" — https://www.polygon.com/magic-the-gathering-mtg-arena-marvel-spider-man-fixed-cards/
  • Game Developer — "Xbox Adaptive Thumbstick Toppers" — https://www.gamedeveloper.com/console/microsoft-launching-improved-xbox-adaptive-thumbstick-toppers