I Am Setsuna developer Tokyo RPG Factory has announced Lost Sphear - focused on the story of a young boy, Kanata, who awakens from a nightmare, finding that his hometown is disappearing. You play as Kanata, who builds a party to rebuild the world using the power of ‘Memory’ and turning thoughts into reality. Building on I Am Setsuna, Lost Sphear has a reworked ATB battle system, where players can adjust their tactics mid-fight.

The game is set to release sometime in early 2018 for the PlayStation 4, the Nintendo Switch and Steam. There are physical preorder packages available from the game's website and the Square Enix Online Store for $49.99 on both the PlayStation 4 and Nintendo Switch – preorders contain a physical copy of the game along with two downloadable music tracks.