Nacon is breaking with tradition and transferring the development of the World Rally Championship from 2027 onwards to the newly founded studio Grit Games instead of the veterans at KT Racing. This change marks a technical reboot based on Unreal Engine 5, aiming to redefine rally simulation from the ground up.
The new French studio is thus replacing KT Racing, who for years were the face of the series under Nacon. The decision is logical. KT Racing is fully occupied with supporting "Test Drive Unlimited Solar Crown" and developing the "Endurance Motorsport Series." A fresh team is now intended to resolve the innovation stagnation that had recently become apparent in the niche of rally simulations.
Technical reboot instead of evolution
The upcoming WRC game There will be no sequel to WRC Generations. Game Director Pierre-Nicolas Moreau clarifies that they are starting from scratch. The use of Unreal Engine 5 is the decisive factor here. While KT Racing's in-house engine had recently reached its limits, the switch to UE5 promises enormous leaps in lighting and environmental detail. This is long overdue for a sport that thrives on changing weather conditions and complex surfaces.
According to the developers, the priorities lie in a solid foundation for physics, sound, and environment. Sound, in particular, has often been a point of criticism from the community regarding Nacon titles in the past. The fact that the team was already on-site at the Monte Carlo Rally to collect data underscores their commitment to realism.
Competition on the gravel track
The challenge for Grit Games is immense. They're not only competing against Codemasters' legacy, but also against "Assetto Corsa Rally," which also uses Unreal Engine 5. The simulation market is becoming increasingly competitive. Furthermore, with the WRC planning new technical regulations for real-world vehicles in 2027, Grit Games must not only build a game, but also digitally recreate an entirely new generation of cars. It's a risky undertaking. Success or failure hinges on whether the physics engine can strike a balance between precision and the raw driving feel of the new rally cars.
A complete reboot from scratch often means that features might be missing at launch. At the same time, shedding old code is the only way to catch up technically with the competition. While Unreal Engine 5 guarantees stunning graphics, Grit Games still needs to prove they can handle the complex handling of loose surfaces.

They'll have a tough time because Assetto Rally is absolutely amazing, the most incredible graphics meet the best, most realistic driving simulation... it looks almost like real life on my 4090... truly incredible what they've delivered. I hope they manage to make a console version, but I suspect they'll need the power of the PS6 for all the calculations.
Unreal Engine 5… as is often the case, not a good choice. 😉