Toby Fox released a Valentine’s Day Deltarune and Undertale newsletter that offered an update on Chapter 3 of the new game. A brief update on Chapters 4 and 5 also appeared, and there is a new producer involved in development.
Apparently, the team is now working on the Japanese localization before finishing up the project. This is one of the final steps before that portion of the game is done.
As for Deltarune Chapter 4 and 5, the update mentioned progress on both as well. The fourth part is now the primary focus, and there is an unnamed internal deadline for that. This portion of the announcement also mentioned the new producer, though the member of the team wasn’t named.
Here’s the full update from the newsletter:
Happy 2024, everyone! The Deltarune team (and I) were taking a break for the holidays to visit our families, but now everyone's back and excited to get back to the game.
Re: Chapter 3, we are working on the Japanese localization. Then we will begin porting and bugtesting the Chapter, after which it will be... totally complete!
As mentioned last time, the team is now mainly focusing on Chapter 4, with some minor work being done on Chapter 5. We've set an internal deadline for ourselves regarding Chapter 4 and our new producer is going to help us make the sweet sweet moves we need to make to meet it. I am confident this is going to be a really productive year!!!
The last major update on the game appeared back in October 2023. That announcement noted that Deltarune Chapter 3 of the game will be sold alongside Chapter 4.
Deltarune Chapters 3, 4, and 5 are in development for PCs and other platforms. People can sign up for the official mailing list on the website for additional updates.
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