Blizzard has reportedly canceled two projects, including a StarCraft FPS, and poured those resources into upcoming major entries in the Diablo and Overwatch franchises.
A Kotaku report says that the StarCraft FPS, codenamed "Ares," was meant to be "like Battlefield in the StarCraft universe." The project was canceled after two years, with one source saying it had been "looking quite good" and another describing its cancellation as a "massive shock."
A second game, an unannounced mobile title, was also canceled at the same time.
According to the report, no one was laid off in the wake of these cancellations and employees were moved to other projects instead. Many were allocated to the Overwatch and Diablo teams, which may both be working on new entries in their respective franchises for announcement at BlizzCon later this year.
Blizzard shared the following comment on the cancellations with Kotaku:
"We don't generally comment on unannounced projects but we will say the following:

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