Report: Prey 2 dev downs tools in contract dispute

The real reason behind the delay to Prey 2 is that developer Human Head Studios stopped work on the game in November due to a contract dispute, reports claim.

An anonymous source told Shacknews that the Wisconsin-based studio was not happy with the terms of its original contract with ZeniMax, parent company of publisher Bethesda, and ceased development late last year to strengthen its position in negotiating a better deal.

That aggressive stance meant Human Head laid off an unspecified number of staff, the source says, on the promise that they would be re-hired once a new deal had been agreed. All seemed to be progressing well until January, when ZeniMax fell silent on the deal; things were looking more positive on March 1, but the following day the situation worsened, and Shacknews' source was unable to provide any further details.

Bethesda broke its silence on Prey 2 yesterday, finally addressing reports from last month that the game had been cancelled entirely. Admitting the game would not meet its 2012 release date, the publisher said the delay was "due to the fact that game development has not progressed satisfactorily this past year… We are unwilling to compromise our quality standards to meet a release schedule."