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According to Otherland forums:
Unfortunately we have to confirm that the rumors are true and RealU, the developer of Otherland, has laid off most of its staff.
RealU is a subsidiary of German publisher dtp, which by itself is currently in insolvency, and gamigo had and has very limited influence on this decision. We are disappointed by this development and very sorry for the development team.
As for the Otherland game: we are still holding the exclusive publishing rights for Europe and North America and we are currently looking into opportunities to finish the title at another location.
Please understand that for legal reasons we are unable to comment further on this matter.
I would take this to mean the game is on indefinite hold. The above was just posted today.
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http://medias.luna-atra.fr/gw2/char_tool/CT_imageGenerator.php?pseudo=Centurion Mikal&lang=EN&code=&code=TSwtLDUsLSw2LC0sMjksOSwyMiwyMywyNCwtLDEwMiwzNiw4MSw4NCw4OQ==
Just heard of this, so sad to hear. This was actually one of the games I was really curious about.
Couldn't help but immediately think "Kickstart it!" but, a developer posted on the forums that with some contracts in place (licensing, investors, publishing, etc.) it's no simple matter to go to Kickstarter (and often not legally possible).
Pity. I hope manage to get some other form of investment.
"There are at least two kinds of games.
One could be called finite, the other infinite.
A finite game is played for the purpose of winning,
an infinite game for the purpose of continuing play."
Finite and Infinite Games, James Carse