Unfortunately, Valve’s newest studio acquired, Campo Santo, is putting their game In the Valley of Gods on hold. This is because the studio has shifted development to multiple Valve projects.
This includes Half-Life: Alyx, Dota Underlords, Steam itself, and more games too. Confirmation comes why from the co-founder of the studio:
To fans looking forward to In the Valley of Gods, it’s probably clear that the optimistic “2019” at the end of the announcement trailer isn’t going to be accurate. In the end, Valve Time makes fools of us all. But yes, developers from the former Campo Santo team have joined other projects at Valve, including Half-Life: Alyx. As you can imagine, our experience in the first-person adventure genre is pretty relevant. You hear a lot about how at Valve you can work on what you want. It turns out that’s true, and there’s a lot of work available. As we integrated ourselves into Valve it became clear there was a lot of valuable work to be done on Half-Life: Alyx. Some of us starting lending a hand, and have since become full-time on the project as it approaches launch. Similarly, some ex-Campos are working on Dota Underlords, some are on Steam, and so on. So to answer your question as of today, In the Valley of Gods development is on hold—but it certainly feels like a project people can and may return to. And when that happens, we’ll find an exciting way to let fans know.Campo Santo co-founder Jake Rodkin
It’s a shame that this game will likely be canceled if they’re focusing on so many games. Campo Santo originals basically don’t exist now. When developers get snapped up nobody ever knows how it’ll go. Studios like Insomniac Games have worked as a support studio on Death Stranding around the time they were acquired by Sony but they still did original games. Campo Santo however isn’t so lucky.