Source: http://www.torquepowered.com/community/blog/view/20495/

However, there are no further information on what will happen to the product line, the licenses etc., yet.

what does this mean? i didn't follow any torque developments recently... is instantaction the owner of the torque engines? what about garagegames? so the torque engines are dead now?

Instant Action bought Torque some time ago, created the Instant Action platform and wanted to let people play games via browser at their platform. It probably did not work as expected so they want to get rid of some costs. Thus they try to sell the Torque engines or will just shut it down.

From my point of view it is quite hard now for Torque3d to survive. But their 2d-tools are great products and could survive.
Another option could be to free it just like the Blender users did. When they spend enough money to a foundation they could eventually buy it, make it open source and create some professional service around it (support, books, tutorials, game projects). But then they have to compete with Ogre, though they at least have some tools and not only a rendering engine.

We will see, what happens.

By the way: 2 other engine makers (Leadwerks and C4) already offer 50% off to Torque licensees.

...not really surprising though. i always wondered about their business practices. it seems like each time their current engine is half done they leave it behind and start a new one. yes, i never used their 2d engine but it has a better reputation than their 3d ones.

Hm it is not good that competition is dying...

Lookinf at the recent beta features here, 3dgs needs some kick in the... to get going

I agree but aren't there enough competitors left (Shiva, Unity, C4, Leadwerks only as a few examples)?

time to get leadwerks then, i got Torque 3D, never used...

You never know who's next.

Well, Torque have some solid 3D world and terrain editors with some cool things like roads, river tools.
It have grass management , a great lightmapper !

They can survive, if they decrease the price, and propose
a commercial version.

Another way, would be to develop a C# version.
Easy to use language with great free editors (like Mono).

They have a solid 3D engine, with great tools, and great multiplayer part also.

They can survive if they really put the hands on it and change
prices also !

mono is not an editor. is an open source re-make of the .net libraries.

What they need was not another language they needed a solid manual/library reference like the one gamestudio has. I have torque3d never really used it except from playing with editor. It's not because my lack of skill, i used a wide variety of engines, even written a not-so-mine engine(ogre+openal, not for games only for a 3d presentation), it's because lack of "good" documentation.