The Walking Dead developer "decided against outsourcing" and couldn't take it on themselves and so it was shelved. Activision look set to do something with it, claims another dev.
Replay Games tried to get King's Quest, with co-founder Paul Trowe saying that they were shot down because Activision apparently have something set in motion.
"While we deeply love King’s Quest here at Telltale, we can confirm that we are no longer working on the franchise. There was a time last year that we investigated partnering with third party developers to produce the game as a partnership but decided against outsourcing. We are not privy to what plans Activision has for the franchise, if any," said Telltale.
Trowe "talked to the guys at Activision and they were like, ‘No, we’re pulling it because we’re going to do it ourselves.'" Telltale told Trowe that they couldn't do work on King's Quest because all their resources were tied up with The Walking Dead season two and Fables. Telltale's next adventure titles are due later this year.