The Lord of the Rings: Gollum’s Failure Causes Daedalic to Shut Down Studio, Shift to Publishing Only

Jul 3, 2023 at 08:30am EDT
The Lord of the Rings: Gollum

The Lord of the Rings: Gollum was always a bit of a weird project, from the choice of the protagonist to the fact that the developer had no prior experience making such a game. The Hamburg-based Daedalic Entertainment made a name for itself with point-and-click adventure games like Deponia.

With The Lord of the Rings: Gollum, they switched to a stealth action/adventure game. Gollum received a number of delays (it was originally scheduled to launch in 2021, then 2022) and was ultimately released in late May 2023 to mixed reviews. Ule Lopez wrote in Wccftech's analysis:

Related Story The Lord of the Rings: Gollum Launch Sales in the UK Are Extremely Low, to No One’s Surprise

[...] if you're the kind of player who wishes to see stunning visuals and deep mechanics alongside high replay value and stable performance, I believe that this experience will leave much to be desired. Because of this, I can only give it a cautious recommendation for those outside of the aforementioned niches.

The day following the release of The Lord of the Rings: Gollum, we learned that Daedalic already had plans to make another game based on Tolkien's beloved fantasy books. The news came directly from the German government, which had provided some of the funding and shared the following description publically:

Daedalic is working on a new project that will transport the player into a lush world full of mythical creatures and magic. It tells a story from a character's perspective that has never been told before. The player discovers new regions and influences the events of the world within the scope of his role and his abilities. In his own way, he tries to influence the course of things and change the fate of the world. This project is aimed at avid fans of the fantasy story and 3D action-adventure genres around the world.

However, the extremely low sales of the game had a devastating effect on Daedalic Entertainment. The studio announced it is closing its development division, including the studio that made The Lord of the Rings: Gollum. It follows that this new project will never see the light of day.

Daedalic Entertainment will therefore focus on publishing games in the future. The company was acquired by Nacon last year for an estimated $60 million.

Luckily, The Lord of the Rings can look forward to many other projects, such as the survival crafting game Return to Moria (due this Fall) and the projects in development at Wētā Workshop and Amazon (the latter is an MMO).

About the author: With over two decades of experience in gaming journalism, Alessio Palumbo has led the gaming vertical at Wccftech since August 2015. He started working at a young age for Italian websites like Everyeye.it, Gamestar.it, Nextgame.it, and Multiplayer.it before kickstarting the indie English-language publication Worlds Factory as its founder and Editor in Chief. In the last decade, he has coordinated the overall output of Wccftech's gaming section, managed PR relations, assigned reviews, produced daily news coverage, edited gaming content as needed, and delivered game reviews. Arguably, his trademark content is the long series of exclusive developer interviews that have been cited by Wikipedia and by the biggest news media and gaming publications. His passion for technology also makes him knowledgeable when it comes to gaming hardware and tech. His favorite genres include RPGs, MMORPGs, and action/adventure games.

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