In a major restructuring move, Sony has announced the closure of Firewalk Studios, the developer behind Concord, and mobile game studio Neon Koi. This decision impacts roughly 210 employees (Bloomberg reports), marking a significant shift in Sony’s development strategy as it aimed to refine its live service offerings. The news comes shortly after Concord was pulled offline following a challenging launch.
Sony Shuts Down Concord Studio and Neon Koi Studio
Hermen Hulst, head of PlayStation Studios, delivered the news in a message to PlayStation staff, confirming the closures and emphasizing Sony’s commitment to lessons learned.
โWe have spent considerable time these past few months exploring all our options,โ Hulst stated. โAfter much thought, we have determined the best path forward is to permanently sunset the game and close the studio. I want to thank all of Firewalk for their craftsmanship, creative spirit, and dedication.โ
Concord, which debuted on August 23rd for PS5 and PC, experienced a disappointing market response, with estimates of under 25,000 sales and peak player counts reaching only 697 on Steam. As a result, two weeks after the game’s release, on September 6th, Sony decided to take it down. Sony plans to make use of its live service capabilities in spite of Concord’s poor performance in order to improve future projects in this competitive genre.
Even while Hulst has confirmed that mobile gaming is still a top priority, the closing of Sony’s mobile game studio Neon Koi also demonstrates a change in the company’s mobile gaming strategy. Neon Koi was developing an unnamed AAA mobile live-service action game when the company was acquired in 2022 under the name Savage Game Studios. However, this project will not continue after the studio closes.
โWith this re-focused approach, Neon Koi will close, and its mobile action game will not be moving forward,โ Hulst shared. โBoth decisions were given serious thought, and ultimately, we feel they are the right ones to strengthen the organization.โ
This news highlights the challenging landscape of the gaming industry, where even major companies like Sony are not immune to setbacks and the need for strategic adjustments. As the industry continues to evolve, it’s important for developers and publishers to adapt to changing trends and consumer preferences to ensure long-term success.
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