Sony is shutting down Bluepoint, developer of Demon’s Souls remake
PlayStation acquired the studio in 2021; Bluepoint is SIE’s fourth closure in two years
PlayStation is closing Demon’s Souls remake studio Bluepoint Games, five years after it bought the developer.
A Sony spokesperson told Bloomberg that around 70 employees will lose their jobs and claimed that the decision was made “following a recent business review.”
“Bluepoint Games is an incredibly talented team and their technical expertise has delivered exceptional experiences for the PlayStation community,” the spokesperson said. “We thank them for their passion, creativity and craftmanship.”
Bluepoint specialised in remakes and remasters of older games and had a long history of working with Sony.
Sony Interactive Entertainment acquired the Austin, Texas-based studio in 2021, following multiple collaborations, including God of War Collection, Metal Gear Solid HD Collection, The Ico & Shadow of the Colossus Collection, Uncharted: The Nathan Drake Collection, Gravity Rush Remastered, and, most recently, the 2020 PS5 remake of Demon’s Souls.
However, it was revealed last year that Sony had cancelled a live service game in development at Bluepoint, as part of the platform holder’s attempted push into the space, which was said to have been based on the God of War series.
In a message reposted on Resetera, PlayStation’s studios boss Hermen Hulst said the decision to close Bluepoint was made due to “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,” he wrote.
“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.
“This decision was not made lightly. Bluepoint is an incredibly talented team and their technical expertise has delivered exceptional experiences for the PlayStation community. I want to thank everyone at Bluepoint for their creativity, craftsmanship, and commitment to quality. Where possible, we will work to find opportunities for some impacted employees within our global network of studios.
“While I know this is hard news to hear, I’m confident in the direction we’re headed. Creativity, innovation, and building unforgettable experiences for players remain at the heart of PlayStation Studios.”
Last year, Bluepoint began hiring for a third-person action game. When Sony announced the acquisition of the studio in 2021, Bluepoint president Marco Thrush said it was “working on original content” and that it was “the next step in the evolution for us”.
And following initial reports that it had cancelled Bluepoint and Bend’s live service games last year, a Sony spokesperson stated that neither studio would be closed down as a result of the cancellations.
Bluepoint is the fourth studio PlayStation has shut down in recent years, following Firesprite, Neon Koi, and Firewalk closures in 2024.
In its most recent earnings results, Sony raised both its gaming sales (4%) and operating income (2%) forecasts for the fiscal year, which ends on April 1. Sony’s overall group profit is up 22% year-on-year.
