So they're making a non-porn game, likely to have something to put on a resume or show as something they worked on since porn games aren't accepted in the job market. They're still working on Predation though, there are still updates for it that get put out, so what exactly is the problem. This Artificial Fright game also seems easier to make compared to Predation, being it's not hand drawn, doesn't need hand drawn animations for all the characters, and worlds are easier to put together in a 3D space especially if the props being used are assets that were already made.
Making another game also wouldn't be another hobby, it's the same hobby but another project under that hobby. They probably were funded for this game too from their Patreon, which is what the Patreon is for which is funding their projects; it just so happens it was started for Predation, even though it's under their dev team name of Horned Lizard Studios.
I also didn't say they were struggling with money, but that they needed the money to cover costs of living. And to afford a partial fursuit, it's likely they saved the extra money to afford it, maybe from those jobs they have. And if Tib moved to the UK from Hungary, then it's likely that a job was needed in order to gain citizenship. Taxes are also a thing, which the money made through Patreon does get taxed.
Not to rain on your parade, but according to Tib on the Predation Discord: "This is my last month at that job, after which I'll dedicate my full time to Predation." This was from January 2023, and I haven't found any more recent updates to this situation, but he hasn't mentioned any job being a blocker to development since then.
As someone who has followed the game's development for a while, I feel it's been made pretty clear by the devlogs and smaller discord updates that both primary developers suffer from mental health issues, resulting in varying degrees of depression, procrastination, lack of motivation, and multiple instances of burnout; any of which may or may not currently be at play.
I would wonder why no one uses mentality to explain slow development progress, but I understand that it's an unsatisfactory answer to either side of the argument. Unsatisfactory for the haters because it's hard to blame someone for mental health problems in this day and age, and because there's no "evil" act being committed in the process. Unsatisfactory for the supporters because, no matter how you look at it, this doesn't spell well for the game and could take many years to remedy, if it is ever remedied.
That being said, change is not impossible; as long as the project is not fully abandoned there's a chance the devs come back from the next burnout with a vengeance. Shortly, the developers will have a chance to prove whether or not anything has changed. Sephra has teased multiple animations and level designs that have yet to make it into the game in recent devlogs, so, theoretically, once Tib figures out AI and combat, development should be much faster at least until a good portion of level 2 is finished.