While earlier speculation pointed to Warhorse Studios, known for Kingdom Come: Deliverance, potentially developing a new Lord of the Rings title, fresh details from Insider Gaming now suggest a different studio is at the helm of a massive Middle-earth project.
According to the publication’s sources, Crystal Dynamics, the renowned studio behind the Tomb Raider series, is actively developing a large-scale game set in J.R.R. Tolkien’s iconic fantasy world. These sources claim that the team is progressing with this ambitious project in parallel with their ongoing work on new installments of Lara Croft’s adventures. This clarification is important, as rumors of Warhorse Studios’ involvement also persist, but these are understood to be two distinct developments.
The Lord of the Rings game has reportedly been in development for some time, with preliminary data indicating significant financial backing. The Abu Dhabi Investment Office is said to be funding the project with approximately $100 million. The envisioned scope of the game is reportedly designed to allow it to compete with major titles such as Hogwarts Legacy. Furthermore, Embracer and Revenge are also reportedly involved, signaling a serious and expansive undertaking that goes beyond typical licensed product development.
Both Embracer and Crystal Dynamics have refrained from commenting on these reports. As the project’s release is considered to be far off, a swift official announcement is not anticipated.

