Warhorse Studios has officially confirmed that it is simultaneously working on an open-world role-playing game set in the "Lord of the Rings" universe and a new project in the "Kingdom Come" series. The announcement follows the structural split of its parent company, Embracer Group, in which the Czech studio was integrated into the newly formed Fellowship Entertainment.
Warhorse Studios The company is using the extensive restructuring of its corporate structure for fundamental expansion and is now developing two major gaming projects in parallel. While the official confirmation of a new "Kingdom Come" adventure is a logical step after the success of its predecessor, the Middle-earth project marks the studio's first departure from its strictly historical setting.
Middle-earth with a touch of Bohemia
The rumors of the past months The rumors have proven true. Warhorse is working on an open-world role-playing game set in J.R.R. Tolkien's Middle-earth. Industry reports indicate a production budget of around $100 million, which is to be supported by external investments, among other things.
What's interesting here is the playful approach. The studio remains true to its design philosophy and, according to initial reports, is aiming for a grounded, dark, and mechanically deep interpretation of Middle-earth. Instead of unfair high-fantasy spectacles with screen-filling explosions, the focus is on immersion and realistic systems. Anyone familiar with Kingdom Come's steep learning curve can imagine what this might mean for battles against Uruks or Orcs.
You might have heard the rumours, it's time to reveal what we are working on.
— Warhorse Studios (@WarhorseStudios) May 20, 2026
🗺️ An open world Middle-earth RPG.
⚔️ A new Kingdom Come adventure.
We're excited to tell you more when the time is right.#WarhorseStudios #Annoucement #lotr #KingdomComeDeliverance pic.twitter.com/Pcgf9SqW52
The return to Bohemia remains open.
The second project is internally referred to as a new "Kingdom Come" adventure. The studio has so far remained tight-lipped as to whether it will be a direct "Kingdom Come: Deliverance 3" or a standalone spin-off. Given the release of "Kingdom Come: Deliverance II" in early 2026, this project is likely still in a very early concept phase. The developers plan to reveal details only "when the time is right."
Strategically, the split makes sense. By spinning off the Embracer Group into the operational unit Fellowship Entertainment, which also manages brands like Tomb Raider and Deus Ex, the need to cross-subsidize unprofitable mobile and indie studios is eliminated. The developers can then concentrate on AAA productions.
For fans of immersive role-playing games, this is excellent news, but it will require patience. The Middle-earth project promises a much-needed, mature change of pace in the often generic world of licensed games, as the core mechanics of Warhorse – such as complex combat systems and in-depth character development – are being applied to a fantasy setting. However, the parallel development of two open-world projects also represents an immense strain on the studio. Neither title is expected to be released on PlayStation 5 or PC before the end of 2028.

This can only be good 😜
Absolutely awesome stuff!! 💯
I would gladly accept games of this type from this studio!