"The short answer is that we were unable to secure a follow on contract to Dawn of War - Soulstorm and were therefore unable to continue as a company," he said. "We essentially got caught in the gap between projects, which is always a risk for developers because any potential backend revenue due to royalties comes long after a project ships, if at all, while payroll is needed immediately, of course.
"So to survive, a developer must bring in a steady stream of projects, and if the gap is slightly too long between the ending of the current project and the start of a new one, you're toast. That's essentially what happened to us. We had a very exciting project we were pitching to publishers and getting a lot of interest in, but late last year several interested parties abruptly dropped out for various reasons. There was still interest from other parties, but we were unable to close a deal with them before the money ran out."
We really do wish Iron Lore was still around. Our wrists still haven't recovered from Titan Quest.