Despite calling Bluepoint Games “an incredibly talented team” full of “technical expertise” which has “delivered exceptional experiences for the PlayStation community”, Sony has decided to shut the studio down.
Last night, it was revealed that Bluepoint – the studio behind the widely praised Demon’s Souls remake and the Uncharted: The Nathan Drake Collection, to name just two – was being shut down by PlayStation. According to Bloomberg, around 70 employees will be impacted by the studio’s shock closure, which will come into force in March. A spokesperson told the publication the decision was made “following a recent business review”.
The move comes five years after Bluepoint Games released Demon’s Souls as a launch exclusive for the PS5. Since then, Sony – which acquired Bluepoint in 2021 – put the beloved and exceptionally talented studio to work on a live-service God of War game, a project it ultimately cancelled last year.
A reported response to Bluepoint’s closure by Sony exec Herman Hulst said: “As I mentioned in the December Town Hall, 2025 had some strong highlights within PlayStation Studios. Ghost of Yōtei launched to critical and commercial success, Death Stranding 2: On the Beach further showcased our commitment to narrative excellence, and Helldivers 2 and MLB The Show continue to drive on-going player engagement and revenue.
“At the same time, we’re operating in an increasingly challenging industry environment. Rising development costs, slowed industry growth, changing player behavior, and broader economic headwinds are making it harder to build games sustainably.
“To navigate this reality, we need to continue adapting and evolving. We’ve taken a close look at our business to ensure we’re delivering today while still well-positioned for the future. As a result, we will be closing Bluepoint Games in March.”
Hulst said this decision “was not made lightly”, before rubbing more salt on the wound by calling Bluepoint “an incredibly talented team” whose “technical expertise has delivered exceptional experiences for the PlayStation community”. Hulst closed by stating he knew this news would come as a blow, but he is “confident” in the “direction” PlayStation is heading.
“Creativity, innovation, and building unforgettable experiences for players remain at the heart of PlayStation Studios. We have a robust roadmap for FY26, with much to look forward to in the months ahead,” he said. “Thank you for your hard work and continued support.”
Personally, I find the closure of Bluepoint absolutely devastating, and a real loss for the gaming industry. Sony’s decision to put a studio renowned for its acclaimed remakes on a live-service project raised many an eyebrow, not just mine, with more than just a handful of fans hoping the company would use Bluepoint Games to revive other classic games from within the PlayStation library, namely PS4’s Bloodborne. Putting the studio on a live-service project felt like a waste of talent, and a clear misdirection for the team’s strengths.
Back in February 2022, Sony stated it aimed to launch over 10 new live service games over the coming years. A month later, then-Sony exec Jim Ryan said he believed live service games were a key part of gaming’s future, confident in PlayStation’s live service push.
However, since then, the company has been pulling back on this vision, with several proposed projects including Bluepoint’s God of War game cancelled.
Most prominently in recent years, Sony closed Firewalk Studios after its failed launch of live-service shooter Concord in 2024. Concord was taken offline just two weeks after its PC and PS5 debut, following a lackluster launch and weak sales. The game had been in the works for eight years, it had been said.
Naughty Dog also ceased work on its live-service The Last of Us multiplayer back in 2023, while a live service Twisted Metal project at Firespite was cancelled in 2024. In March of that same year, footage of a cancelled co-operative live service Spider-Man game from developer Insomniac – titled Spider-Man: The Great Web – appeared online.