The survival MMO H1Z1 will become 2 titles. One of them is set to be released in the summer on PS4, PC, and Xbox One.
In 2014, Sony Online Entertainment developed a zombie survival MMO as a side project, based on Planetside 2. Originally, they were working on a MOBA, but the team and especially the fans liked H1Z1 so much that priorities shifted.
H1Z1 was originally designed as a survival game
The game was atmospherically inspired by the then prevalent “Walking Dead” virus. It was supposed to focus heavily on crafting and survival. In early 2015, it entered Early Access on Steam and was a surprise hit for a brief period. Later in 2015, the development shifted away from the “MMO parts” towards an arena shooter. This worked better for viewers, as developer DGC attempted to reach a new audience through popular Twitch streamers.
The original fans of the survival mode complained about this new direction. The developers did not deliver the game they had promised them a year prior.

H1Z1: King of the Kill, the shooter, will be released in summer for PC, PS4, Xbox One
This development now acknowledges the situation at H1Z1. Starting February 17, H1Z1 will become “H1Z1 King of the Kill“, an arena shooter with Battle Royale and other modes. The remainder will become H1Z1: Just Survive, the MMO with crafting elements. Both games will cost €20 each. Those who purchase the current H1Z1 before February 17 or have already bought it will have access to both games.
The special thing is: the shooter part is expected to exit Early Access in the summer and will be released for PC, PlayStation 4, and Xbox One. The MMO part will remain in Early Access on PC for the foreseeable future. However, it is still planned for a console release.

Two games, two teams, two microtransaction models
According to the US magazine Polygon, this separation is beneficial for H1Z1. They can now bring the shooter part to consoles, which are eagerly awaited. Furthermore, they can let different teams develop both games and monetize them differently: the MMO part will feature microtransactions, keys to open crates, or to order air drops. In King of the Kill, players will be able to purchase certain game modes. Both games will launch with different launchers.
The idea of Free2Play has been definitively abandoned. Both games will cost money after release.
The H1Z1 community is reacting… not very positively. The kindest criticism is regarding the generic names.
We at Mein MMO have closely followed H1Z1 over the past years , on our topic page you will find a variety of news and articles about the game: