 Högdahl serving as the company 's head and tech lead , was responsible for creating a new game engine for future games , and looking for publishers willing to help publish its games . At that time , the company had only about five employees , and had created a prototype for a video game and pitched it to publishers at E3 1998 . Gremlin Interactive agreed to publish the game , and the deal was finalized in late 1998 . The company grew to have roughly eleven staff members . The game was a first @-@ person action role @-@ playing game named Sorcery . With a high fantasy setting , the game featured 3D visuals and its gameplay was similar to that of Diablo and Quake . However , Gremlin Interactive was acquired by Infogrames in 2000 and the partnership with Starbreeze dissolved , resulting in the game 's cancellation . 
