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From what I can gather based on the Discord, Phoenix Rising is more or less officially dead.
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I did a little bit of looking around, at least on the subreddit, and it seems like quite a few devs have left, and in general development has been slow? IDK if it's dead, but it is sort of 'limping along' it seems. Seems like a lot of these newer generation of fangames in development are promising a lot and then aren't producing a ton of product due to development issues or whatever.
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I searched it too on their discord server. In short, the project is discontinued due to life being life.
It’s really sad but then again, being able to keep that motivation to push through a project that is non-profit with nothing but love with the series is so commendable. I’m just glad I get to play that small demo of pr. By saying that, it really makes you appreciate games like Reborn more for going through until the end.