Tekken x Street Fighter is officially on hold, in large part because the developer does not want to split the fighting game community any further than it has already been split. Tekken game director Katsuhiro Harada talked to GameSpot and told them he wanted to keep the Tekken 7 and Street Fighter communities as happy as possible.
“We try to keep the core community in mind as well as the wider audience that wants to play these games,” Harada said. “Currently, the situation with fighting games is you have Street Fighter 5 and a large crowd out there waiting on Tekken 7. We don’t want to split these communities.” He added.
Because of these considerations, Harada said finding a good release window for Tekken x Street Fighter is hard right now. The news is hardly a massive shock, while Bandai Namco had claimed development was still ongoing in January of 2015, there had been very little news about the game since then. For now, we’ll just have to wait and see if the hold is temporary or permanent.