The Little Nightmares series is potentially over, as developer Tarsier will focus on creating a new IP.
Tarsier's parent company, Embracer Group, said as much today in an earnings report (as first reported by IGN). "Now, having that game created, they will move over to create new IPs," Embracer group CEO Lars Wingefors said of the Tarsier launching Little Nightmares 2. "Tarsier studios will, from now on, focus on creating new IPs," reads the earnings report itself.
Embracer Group acquired Tarsier Studios back in December 2019, but the Little Nightmares IP remains the property of publisher Bandai Namco. It's entirely possible that the Little Nightmares IP could be given to a new studio under Bandai Namco, but from the comments made by Embracer Group, it would certainly seem as though Tarsier is moving away from developing further entries in the Little Nightmares series.
Little Nightmares 2 launched just last week, and we awarded the horror sequel from Tarsier a 4/5, saying that it's "an amazing little horror game that can be as frustrating as it is brilliant." For our full review of Tarsier's creepy sequel, head over to our complete Little Nightmares 2 review.
If you're familiar with both games in Tarsier's series, you might be interested to know that the demonic teacher in the second game originally appeared in the DLC for the debut Little Nightmares game. In the Secrets of the Maw DLC for the original game, you can actually see a portrait of the teacher, who would go on to pursue Six and Mono in the sequel three years later. It seems as though Tarsier was laying the foundations for a sequel longer ago than we thought.
For our list of some of the best horror experiences, you can put yourself through on consoles and PC, head over to our writeup of the best horror games ever made for more.