Apparently the team that worked on this project was reduced from 100 to just 30 workers that will be dumping all of the work done to-date and starting at zero, while others are assigned to other Blizzard projects. Of course, these are unconfirmed rumors and should be taken with a grain of salt until we have an official statement from Blizzard, if such a thing ever happens.
According to Polygon who did manage to get a response from Blizzard, the company’s statement was “We've always had a highly iterative development process, and the unannounced MMO is no exception. We've come to a point where we need to make some large design and technology changes to the game. We're using this opportunity to shift some of our resources to assist with other projects while the core team adapts our technology and tools to accommodate these new changes. Note that we haven't announced any dates for the MMO.”
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