PlayStation shuts down Bluepoint Games, the studio behind the remakes of Demon's Souls and Shadow of the Colossus

Sony has announced that it will be closing Bluepoint Games, the game studio responsible for developing the remakes of 'Demon's Souls ' and ' Shadow of the Colossus .'

Sony is shutting down the PlayStation studio Bluepoint - Bloomberg
https://www.bloomberg.com/news/articles/2026-02-19/sony-is-shutting-down-the-playstation-studio-bluepoint

Sony is shutting down Bluepoint, developer of Demon's Souls remake | VGC
https://www.videogameschronicle.com/news/sony-is-shutting-down-bluepoint-developer-of-demons-souls-remake/

Bluepoint Games is a game studio based in Texas, USA, founded in 2006 by game developers Andy O'Neill and Marco Thrash, who were involved in the development of Metroid Prime .

The company has been responsible for developing PlayStation exclusive titles such as the remake of Shadow of the Colossus in 2018 and the remake of Demon's Souls in 2020.

That 'Shadow of the Colossus' has been fully remade with super beautiful 4K graphics, so I tried to fight against the colossus full of despair on PS4 Pro - GIGAZINE

'Demon's Souls' and 'Devil May Cry 5 Special Edition' play review released simultaneously with PlayStation 5, enjoying the next-generation gaming experience with ultra-high quality 4K resolution - GIGAZINE

Subsequently, Sony Interactive Entertainment (SIE), which is responsible for the development and sales of the PlayStation brand, announced the acquisition of Bluepoint Games in October 2021. As a result, Bluepoint Games will join PlayStation Studios, a game studio under SIE.

Sony acquires Bluepoint Games, developer of the remakes of 'Demon's Souls' and 'Shadow of the Colossus' - GIGAZINE

A Sony spokesperson told Bloomberg that Bluepoint Games will be closing, and that Sony plans to lay off approximately 70 employees.

A spokesperson said: 'Bluepoint Games is an incredibly talented team whose technical expertise has delivered amazing experiences for the PlayStation community. We thank them for their passion, creativity and craftsmanship.'

As part of a business review, Sony reportedly canceled a live service game being developed by Bluepoint Games in 2025. The game was based on the God of War series.

Herman Hulst, head of PlayStation Studios, explained the decision to close Bluepoint Games due to 'an increasingly challenging industry environment.' 'Rising development costs, slowing industry growth, changing player behavior, and broader economic headwinds are making sustainable game development difficult.' Sony plans to close Bluepoint Games in March 2026.

Sony closed game studios Firesprite, Neon Koi, London Studio, and Firewalk in 2024.

Sony's gaming division 'SIE' announces layoffs of 900 employees, dissolves VR game development studio and offers severance packages in Japan - GIGAZINE