The game generates each level of the dungeon by assembling modular "chunks" of the game environment. Each chunk is designed by hand and may be composed of multiple rooms. They can contain scripted events and interactive objects such as levers that open secret doors or cause bridges to move. This approach to level generation is intended to create dungeons with more purposeful design, instead of environments that simply look like "crossword puzzles that have been extruded upwards."
The player develops their character by placing points into class-specific skill trees. Further, there is a separate category of spells that any character can learn from scrolls, regardless of class.
The player character arrives in town and is recruited by Syl, a sage who is searching for her mentor, an alchemist named Master Alric, who has disappeared in the nearby mine. At the bottom of the mine tunnels, the player finds a passage into older, crypt-like chambers below, eventually discovering that the entire dungeon is a "layer cake of ruined civilizations." Alric ambushes the player and reveals he has become evil due to the corrupting influence of Ember. After fighting a series of monsters and henchmen to reach the bottom of the dungeon, the player must face Alric and an ancient creature named Ordrak, the source of the Ember's corruption.
In August 2010, Runic CEO Max Schaefer revealed that the game was in development for the PlayStation 3 and Xbox 360, aiming for release by the end of the year. In January 2011, Runic announced that Torchlight would be released for Xbox Live Arcade (XBLA) in early 2011, but a release for PlayStation 3 was no longer planned. Because Microsoft is acting as publisher of the XBLA release, Torchlight will likely remain exclusive to the Xbox 360 on consoles.
The Xbox 360 port was developed as a collaboration between Runic Games and World Domination Industries. Runic became more heavily involved in the port in mid-2010 when it became clear that its controls and graphical interface required a complete overhaul to adapt for use with console-style controllers. As such, the player character is now directly driven by the controller without any virtual cursors. The game also includes some new content such as additional armor sets and a new pet, and incorporates technology developed for Torchlight II including character animation blending and an improved automap.
While Runic Games had been shuttered by Perfect World in 2017, Perfect World held the rights to the Torchlight IP. In mid-2018, the company announced Torchlight Frontiers, a shared world game developed by Echtra Games, a studio within Perfect World founded by Runic's Max Schaefer. Frontiers was renamed Torchlight III in January 2020. It was released later that year on Windows, PlayStation 4, Xbox One, and Nintendo Switch.
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