Kentucky Route Zero developer Cardboard Computer has tweeted to say that "Act IV is almost done! Excited to share it soon". That was followed by another Tweet of the screenshot above, seemingly from Act IV, which is definitely actually happening!
This is good news. Earlier this year the team had to Tweet to assuage fans desperate to immerse themselves in the next stage of the brooding magical realist adventure game.
So, for total clarity: KRZ Act 4 is not abandoned, canceled, a "scam," a performance art piece(?), or anything else but a work-in-progress. August 2, 2015
The first episode of the five-part series was released in February 2013. Episode three was released in May 2014.The development pace matches the slow-burn feel of the series. By the accounts of those of us that have played them so far, the acts have been worth the wait so far. Personally I'm saving acts II - V for a continuous playthrough on a wintry day.