Sony Interactive Entertainment announced the closure of Bluepoint Games, the studio responsible for acclaimed remakes such as Demon’s Souls and Shadow of the The decision comes after a recent business review and cancellation of a live-service project based on God of War that was in development at the studio. Cerca of 70 employees will be affected, with the closure scheduled for March 2026. The announcement reinforces the trend of adjustments in the PlayStation Studios division since the launch of the PS5.
Studio Bluepoint Games was acquired by Sony in 2021 and has delivered high-quality remakes that received ratings above 80 on Metacritic. Apesar of the positive track record in remasters and support for titles like God of War Ragnarok, the recent focus on games as a service has not achieved the results the company expected.

Main studios closed in the PS5 generation
Sony acquired several studios starting in 2020 to expand its first-party catalog, but several faced closures. Japan Studio was dissolved in 2021 and absorbed by Team Asobi. PixelOpus ceased operations in 2023 after unannounced project cancellation.
Neon Koi, focused on mobile, was closed in 2024 before launching the title as a service. London Studio ended activities in the same year, canceling multiplayer in development.
Recent impacts on acquired studios
Firewalk Studios released Concord in 2024, but the game received negative reception and was removed from stores two weeks after its debut. The studio closed shortly thereafter, with associated layoffs. Bluepoint follows the pattern, with cancellation of God of War live-service in 2025 leading to final review.
These adjustments reflect challenges in the gaming industry, including difficulties with live-service projects. Sony maintains other operational studios, such as Housemarque, Nixxes Software and Bungie, focused on varied productions.
Chronology of closures and cancellations
Since the start of the PS5 generation, the sequence includes the termination of Japan Studio in 2021. PixelOpus closed in 2023. Neon Koi and London Studio closed in 2024.
Firewalk closed in 2024 after failure of Concord. Bluepoint joins the list in 2026, marking the most recent. Vários projects were canceled throughout the period, affecting teams and planning.
Context of acquisitions and restructuring
Sony bought around ten studios post-2020 to strengthen exclusives. Alguns delivered successful titles, but others faced cancellations and lower-than-expected receptions. The company adjusts operations to align with current market demands.
Hermen Hulst, head of PlayStation Studios, cited a challenging scenario in the industry to justify recent decisions. Restructuring seeks sustainability amid economic and consumer changes.
Studios still active in the division
Despite the closures, PlayStation Studios has consolidated teams. Insomniac Games continues with Marvel’s Wolverine. Sucker Punch prepares Ghost of Yotei, scheduled for 2025.
Housemarque works on Saros for 2026. Naughty Dog develops Intergalactic: The Heretic Prophet. Essas productions maintain a focus on single-player and narrative experiences.
The PS5 generation presents a balance between successes and necessary adjustments. Sony continues to invest in first-party content for the platform.