Sonic 4 Not Being Developed by Sega

Developers Dimps will be tasked with the job instead.

Sega has announced  that Sonic Team is not developing Sonic the Hedgehog 4. Instead, that job will be taken up by Dimps, who were behind the handheld games Sonic Rush and Sonic Advance.

Dimps has also worked with Capcom recently on Street Fighter IV.