Sonic Mania 2 Wasn't Made Because Sega Wants To Move Away From 2D

Sonic Team head Takashi Iizuka believes pixel art graphics won
Sonic Team head Takashi Iizuka believes pixel art graphics won't appeal to a wide enough audience.

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Sonic Mania 2 was never in the works because Sega and its devs wanted to move away from pixel art and “make something fresh”