Another Live Service game "Dead in the womb"! Sony (SONY.US) cancels two more PlayStation projects.
17/01/2025
GMT Eight
Sony (SONY.US) said on Thursday that its PlayStation division has canceled two unreleased games from its top subsidiaries.
These two games were in development by Oregon's Bend Studio and Texas' Bluepoint Games studios. It is understood that these games were both "Live Service" projects, meaning they were long-term online service games that would receive frequent updates and seasonal content.
A company spokesperson confirmed the cancellation of these projects. The spokesperson said in a statement, "Following a recent review, these two games have been canceled, and PlayStation will continue to focus on creating online and single-player games."
Both studios will not be shutting down. The spokesperson said, "Bend and Bluepoint are highly successful teams and important members of the PlayStation Studios family. We are working closely with each studio to determine the next project."
In recent years, PlayStation has invested heavily in Live Service games, which typically involve multiplayer games with microtransactions and other forms of revenue from players over months or even years after release. These games are risky investments, but can bring in significant profits if successful.
For Sony, this strategy paid off with the success of "The Last of Us Part II" in 2024, but there have been several failures including "Concord", which was removed from sale less than two weeks after release. It has been reported that the company has also canceled several other Live Service games over the past few years, including one based on Spider-Man.
Sony has not disclosed whether the cancellation of these projects will result in layoffs. In a memo sent to employees, the company said it is "working closely with Bend and Bluepoint to determine the next project and planning to do everything possible to minimize the impact on the business."
Over the past two years, the video game industry has faced challenges, with tens of thousands of people losing their jobs due to wrong bets and slowing growth.