What a disaster. KSP2 was pushed out the door before it was ready, and now it's looking to close down before it's done. The first game on the other hand was and still is a magical sandbox experience.
Private Division will continue to update Kerbal Space Program 2, Take-Two said in a statement.
No idea who would be developing it. Presumably a team that has other stuff on their plate, or else why would they shut down the team dedicated to it just to dedicate another team to it?
So basically they'll be overworking some other employees to make up for this shutdown.
I've been playing some of Juno New Origins. Slightly more realistic then ksp1, has an interesting method of control that makes playing on keyboard much more doable (you can set a basic autopilot), and has a lot of procedural parts. Maybe not a replacement for KSP1, but definitely worth a look at if you like that sorta thing. Also runs better then either KSP.