IGN, through IGN Russia, reported an insider had informed them the game has been cancelled. The Last Guardian has in development since 2007, and more importantly – still is.
Sony’s Scott Rohde took to twitter to dispel this new information by stating:
The Last Guardian has NOT been cancelled.
The last Guardian is being developed by Team Ico, who previously developed ICO and Shadow of the Colossus. The game has gone through some changes in its extended development period, one of which is expected to be the shift from launching on PS3, to now launch on PS4. This is merely speculation though.
For more information, head over to Gamespot.