New Lord of the Rings open-world game rumored to be development by Kingdom Come: Deliverance 2 studio

In late 2025, Insider Gaming published a report claiming that a new Lord of the Rings game was in development for a $100 million budget. Now it seems that the studio behind Kingdom Come: Deliverance 2, Warhorse Studios, will be the one leading the charge.

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The latest stokes the fires of rumor from late 2025, with hiberner toujours writing on ResetEra that Ryszard Chojnowski, a 27-year industry veteran who's been a project lead for The Witcher, said on the Tolkien Polska podcast that he has heard from credible sources that Warhorse Studios is the development team working on the new Lord of the Rings game. Notably, Embracer Group studios hold the rights to the Lord of the Rings games, and Warhorse Studios is owned by the Embracer Group.

As for funding, the $100 million will be provided by the Abu Dhabi Investment Office. So, what can fans expect? The new Lord of the Rings game is akin to Hogwarts Legacy in design, as it's a third-person action game. Given the success of Kingdom Come: Deliverance 2 and the experience Warhorse Studios has in crafting immersive RPG experiences in open worlds, the new Lord of the Rings game seems to be in very good hands.

Although nothing has been officially announced by Embracer Group or Warhorse Studios, this information remains a rumor for now. In other news about open-world games, Rockstar has a "go nuts" attitude when crafting their worlds, which results in a massive fat-trimming process leading up to launch. If you want to read more, check out the link below.