Following the sequel announcement at The Game Awards, speculation immediately arose regarding the game engine for the Ōkami sequel. IGN exclusively confirms, after speaking with key project leads, that Capcom's RE Engine will power the game.
In an extensive interview, Machine Head Works producer Kiyohiko Sakata confirmed the use of RE Engine, explaining Machine Head Works' role as a bridge between Capcom (IP holder and director of the game's overall vision) and Clover (development lead). Their experience working with Capcom and Hideki Kamiya, along with their familiarity with RE Engine (an engine Clover lacks experience with), makes them uniquely suited to assist in development. Additionally, Machine Head Works has personnel with experience on the original Ōkami.
Capcom producer Yoshiaki Hirabayashi simply stated "Yes" when asked about RE Engine's appeal, elaborating that Capcom believes Kamiya's artistic vision couldn't be realized without it, emphasizing the engine's renowned expressive capabilities and the high expectations surrounding its use. Kamiya himself added that the engine's quality is anticipated by fans.
Sakata further hinted that RE Engine may allow the team to achieve goals unattainable with the original Ōkami's technology, stating that current technology and RE Engine enable them to surpass their past ambitions.
RE Engine, Capcom's proprietary engine (originally developed for Resident Evil 7), has been used in numerous major titles, including the Resident Evil, Monster Hunter, Street Fighter, and Dragon's Dogma franchises. While most RE Engine games feature a realistic art style, the potential application to Ōkami's distinct aesthetic is intriguing. Capcom's development of a successor engine, REX, with gradual integration into RE Engine, suggests the Ōkami sequel may incorporate some REX elements.
A full Q&A with the Ōkami sequel's development leads is available for further details.