However, it looks like those reports got things a bit wrong, as Square Enix has officially canceled the game.
The announcement came yesterday, May 14th, alongside the news that Studio Istolia has been closed down as well The employees of Istolia will be relocated to other development teams within Square Enix, so at least those devs[...]
Studio Istolia Archives
RPG Site has taken notice of the fact that Studio Istolia, the company that was developing the game for SE has vanished off the face of the planet Well, the internet at least, as their Twitter has been deleted and their website now goes to Square Enix's main page This all comes off the heels[...]
The new title will be the property of Square's newest studio called Studio Istolia We don't know much about the new RPG, just that "The project aims to build a new RPG with a new fantasy: unfolding across a vast land teeming with life Nurtured by the earth, the many peoples of this land dare to[...]