The Pillars of Eternity team has been open about their desire to make a sequel, with lead programmer Adam Brennecke saying during a panel at PAX Prime that they're "very interested" in the idea. They haven't officially confirmed that a Pillars of Eternity 2 is in the works, which makes sense because they've only released the first part of their first expansion The White March, but it's clear they've been thinking about it.
In an interview with PCGamesN, Obsidian's Josh Sawyer said that as far as locations for the sequel, we should expect a similar move as in Baldur's Gate II from the original Baldur's Gate:
"For [The White March], we’re taking on the other side of the Infinity Engine equation, which is Icewind Dale. It’s not really that big of a departure, but in the base game we very much made something that was very cosy, very Dalelands, very temperate. Meadows and forests and things like that.
"I would say in Pillars 2, if we wound up doing a sequel, which we certainly want to do, we would probably take it to someplace which is not quite as familiar. Which is exactly what Baldur’s Gate II did. Baldur’s Gate II took you to Amn, to Athkatla, which is nearby the rest of the Sword Coast territories but it’s different enough that it feels new and interesting."
For a reminder of the kinds of familiar locations you can find in The White March, check out this trailer. What kind of a world would you want to see for Pillars 2?
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