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Before Ubisoft purchased the franchise, the game was being developed on the Heroes of Might and Magic IV engine by New World Computing. This version of the game was scrapped when publisher 3DO filed for chapter 11 bankruptcy in mid-2003. In August of 2003, Ubisoft acquired the rights to the Might and Magic franchise for $1.3 million. Ubisoft gained access to NWC's assets and documents for the game, but it was decided to throw them away and create a completely new game using a 3D engine. Much of NWC's concept and in-game art can be found online.
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The Stone Gargoyles appear to be based on the Epitaph enemies from Final Fantasy IX.
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