In a major shake-up for PlayStation Studios, Sony is closing Bluepoint Games, the Texas-based team best known for its acclaimed remakes of Demon's Souls and Shadow of the Colossus.

According to Bloomberg, the decision follows a “recent business review,” with roughly 70 staff members affected. The studio is expected to shut down in March.

A PlayStation spokesperson told the publication, “Bluepoint Games is an incredibly talented team and their technical expertise has delivered exceptional experiences for the PlayStation community. We thank them for their passion, creativity and craftsmanship.” Sony has not issued a broader public statement beyond that comment.

Bluepoint built its reputation on high-quality remasters and remakes of beloved PlayStation titles. Before its acquisition, the studio worked on polished updates including the Uncharted collection and Gravity Rush remasters. Its 2018 remake of Shadow of the Colossus was widely praised for modernizing a PlayStation 2 classic, and the 2020 PlayStation 5 launch remake of Demon’s Souls showcased the console’s technical power.

Sony formally acquired Bluepoint in 2021, cementing the studio as part of PlayStation Studios.

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But after the acquisition, Bluepoint’s trajectory appears to have changed. The team co-developed God of War: Ragnarok in 2022 before shifting focus to an unannounced live-service God of War project. That game was reportedly canceled in January, marking a significant pivot away from the remake-driven identity that had defined the studio.

Bluepoint’s closure is not happening in isolation. Over the past two years, Sony has made sweeping adjustments across its gaming division.

In 2024, Sony shut down Firewalk Studios shortly after the troubled launch of its multiplayer shooter Concord. Around the same time, mobile-focused studio Neon Koi was also closed. Meanwhile, Bungie laid off 220 employees and shifted additional staff under Sony Interactive Entertainment.

The moves come amid PlayStation’s evolving strategy around live-service titles, an area Sony had aggressively invested in, but where results have been mixed.

What This Means for PlayStation

Bluepoint’s shutdown marks the loss of one of PlayStation’s most technically respected teams, a studio synonymous with careful preservation and modernization of gaming classics.

It also signals a broader recalibration within Sony’s gaming business. After years of expansion and live-service ambitions, PlayStation appears to be tightening its portfolio and reassessing which projects align with its long-term strategy.

For fans of PlayStation’s remake era, the closure is especially bittersweet. Bluepoint helped bring some of the brand’s most iconic titles into the modern generation. Now, that chapter appears to be closing as well.

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