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Gaming mega-publisher Embracer to close studios, cancel games after $2B deal crumbles
(www.polygon.com)
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You don't really need sources, it's just a bad game from every perspective made by a studio that only had experience with point and click adventures (which had an actual good reputation, but I've never played them myself). It looks ugly (as in: games ten years ago had better graphics), it plays badly and the amount of people who want to play as Gollum just isn't that high.