Forspoken developer Luminous Productions is being merged with Square Enix on May 1, 2023, meaning it will no longer operate as an external studio.

The news comes just over a month after Forspoken launched on PC and PlayStation 5, with Luminous' debut title receiving mixed reviews from critics.

Luminous was originally known as Business Division 2 and worked on Final Fantasy XV under that moniker, but was restructured and rebranded as an external developer (still owned by Square Enix) in March 2018.

Square Enix Holdings, the parent company of both Square Enix and Luminous, said the merger will bolster the "competitive prowess" of its video game studios.

"Square Enix has developed numerous triple-A, high-definition (HD) games and possesses a wealth of intellectual property and content. Luminous Productions is meanwhile equipped not only with triple-A title development capabilities but also technical expertise in areas such as game engine development," reads a short press release. "Combining the two entities will further enhance the Group’s ability to develop HD games."

In a studio update shared on Twitter, Luminous said it will continue to support Forspoken ahead of the merger and said the title's first expansion, In Tanta We Trust, remains on track to release this summer.

The company added that by merging with Square Enix, it will be able to deliver "new innovative gaming experiences to players across the globe."

"When we established Luminous Productions in 2018, our vision was the make triple-A games that fused technology and artistry to deliver completely new play experiences," continued the studio. "Having he chance to do just that has been a dream come true. We appreciate you taking this journey with us and look forward to continuing to create new entertainment and experiences as part of the Square Enix family."