Is it actually in production or still a rumor? I still feel like what’s the point though. I cannot keep up with is all the tellings of this game. The dlc, characters files, novels, manga I’m just not seeing the point to doing this
Reliable insiders who had the scoop are saying it is real and happening. They are typically people with big scoops about major films and TV shows and wouldn't have any stake in starting a false rumor about KH.
SE and Disney haven't commented on it, though, so treat it as a rumor.