Ivy Road studio to close after failing to secure funding for Engine Angel

Ivy Road, the indie studio behind Wanderstop, announced it will shut down as of March 31, 2026, after funding for its next project fell through. The team expressed gratitude for their work on the 2025 release while lamenting the tough funding climate. Annapurna Interactive teased future news related to Wanderstop.

Ivy Road, cofounded in 2021 by Stanley Parable co-creator Davey Wreden with support from Annapurna Interactive, revealed its closure on Friday. The studio's sole release, Wanderstop—a tea-making cozy sim and narrative adventure about burnout—launched in early 2025 and earned positive reviews, including an 80 Metacritic score and 90 percent positive Steam user rating from hundreds of thousands of players. Eurogamer described it as 'warm-hearted, funny, and never less than sincere,' awarding it three out of five stars. The team had been developing Engine Angel, a prototype blending elements reminiscent of Twisted Metal and Platinum Games-style action, conceived by team member Liz. 'Today, we must share some bittersweet news: Ivy Road is closing its doors as of March 31st, 2026,' the studio stated. 'It’s hard to put into words how thankful we are to have been able to work together on Wanderstop – this is an incredible group of people! And while we had a new project, Engine Angel, that we were excited about, unfortunately the funding didn’t come to fruition and the studio had to shut down.' Despite pitching to publishers, no deal materialized. 'It’s a particularly tough time for raising game funds, so while we weren’t necessarily surprised, we are disappointed that we won’t be able to bring Engine Angel to life together as a team. Liz's concept is incredible, and we hope it may someday come to fruition!' In a final gesture, Ivy Road added a Chapter Select cheat code to Wanderstop, allowing players to skip to any section. The studio also hinted at 'one last surprise' from Annapurna Interactive to help the game reach new players. This closure reflects broader industry struggles, with at least 3,000 developers laid off in the first three months of 2026 and 13 studios shuttered.

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