Amazon Reportedly Cancels Its Lord of the Rings MMORPG Amid Major Studio Layoffs

Amazon Reportedly Cancels Its Lord of the Rings MMORPG Amid Major Studio Layoffs
Aman October 31, 2025 Games

Amazon Game Studios has reportedly shut down its ambitious Lord of the Rings MMORPG. The project aimed to bring J.R.R. Tolkien’s Middle-earth to life in a vast online world. The news comes amid significant layoffs across Amazon’s gaming division.

The cancellation was first spotted by Rock Paper Shotgun, based on a now-deleted LinkedIn post from Ashleigh Amrine, a former senior gameplay engineer at Amazon Games. Amrine wrote that she and several of her colleagues were let go, including those working on New World and the “fledgling Lord of the Rings game.” While Amazon has not officially confirmed the project’s cancellation, the evidence strongly suggests that development has come to a halt.

Amazon first announced the Lord of the Rings MMO in May 2023, in collaboration with Middle-earth Enterprises, the rights-holder owned by Embracer Group. The game was being developed by the team behind New World, Amazon’s only major MMORPG, which itself launched in 2021 to mixed reception but gradually built a modestly loyal community.

The project was expected to feature a persistent open world inspired by Tolkien’s universe, drawing from stories across The Hobbit, The Fellowship of the Ring, The Two Towers, and The Return of the King. Players would have been able to explore Middle-earth’s vast landscapes, likely engaging in faction-based battles, crafting, and cooperative adventures.

However, the game’s fate now seems sealed before it could even reach a public testing phase. The cancellation aligns with Amazon’s ongoing cost-cutting measures, which have affected over 14,000 employees across multiple departments, including Amazon Games.

This is not the first time Amazon’s Lord of the Rings project has been canceled. A previous attempt at a Middle-earth MMORPG was scrapped back in 2021 after a dispute between Amazon and Tencent. The newly canceled version, announced two years later, appeared to be a revival of that concept. But it now meets the same unfortunate end.

Meanwhile, Amazon’s other gaming efforts are also being scaled back. The studio recently confirmed that New World: Aeternum will no longer receive new content updates, with the Season 10 “Nighthaven” release being its final major update. However, servers for the game will remain live until the end of 2026, giving players time to enjoy the world of Aeternum before it eventually sunsets.

Despite this news, Amazon Games still has some active projects in development. The company continues to collaborate with Crystal Dynamics on the next Tomb Raider title, which reportedly remains unaffected by the layoffs. Additionally, Amazon has hinted that its future plans will shift toward casual and AI-driven games, signaling a new direction for its gaming ambitions.

Amazon entered the gaming industry with great expectations — backed by big budgets, advanced cloud infrastructure, and ownership of Twitch. However, despite successes like Lost Ark and early traction for New World, the company has struggled to sustain long-term hits. The cancellation of the Lord of the Rings MMORPG is yet another sign that even massive resources cannot guarantee success in the competitive online gaming market.

As of now, Amazon has not issued an official statement confirming the fate of the project. But based on the reports and staff departures, it appears that Middle-earth’s journey under Amazon’s banner has come to an end — at least for now.

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About the Author: Aman

Since he was five years old, he has been a PC gamer. His passion for video games expanded and took over the hardware on which they were played. He has been captivated by technology ever since and enjoys writing about it frequently.

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