Playstation shuts down dark outlaw games, citing unannounced first-party project failure
PlayStation’s recent pruning of its first-party studios continues with the reported shutdown of Dark Outlaw Games, a studio formed to develop an unrevealed title for the console maker. The move, confirmed by Bloomberg’s Jason Schreier, also includes layoffs within Sony’s mobile development division, signaling a significant shift in the company’s strategy.
Dark outlaw’s brief existence and connection to deviation games
Founded at the behest of Sony by Jason Blundell, a veteran of Activision and Treyarch’s Call of Duty franchise, Dark Outlaw Games operated quietly for a year, only being publicly mentioned on a podcast in March 2023. Blundell alluded to the studio “working away in the shadows” on a first-party project, but the specifics remained shrouded in secrecy. The studio was populated by several former employees of Deviation Games, Blundell's previous venture, which also aimed to create first-party titles for Sony. Deviation Games itself underwent its own turbulent history, with layoffs in 2023 and a complete shutdown in 2024 before it could unveil its project.
The parallels between the two studios are striking. Both were spearheaded by Blundell, a figure with a clear vision for Sony’s first-party lineup, yet both ultimately failed to deliver. This pattern raises questions about Sony’s current approach to developing exclusive content.

A pattern of studio closures at sony
Dark Outlaw’s demise isn't an isolated incident. The shutdown follows the closure of Concord’s Firewalk Studios in 2024 and the recent shuttering of Bluepoint Games, the studio behind critically acclaimed remakes of Demon's Souls and Shadow of the Colossus. These moves suggest a broader restructuring within Sony’s PlayStation Studios division, possibly reflecting a reassessment of resource allocation and project viability. The reported 50 job losses within Sony's mobile development teams add further weight to this narrative.
Schreier’s report indicates that the decision regarding Dark Outlaw came directly from Sony. While the exact reasons remain undisclosed, industry analysts speculate that the studio may have struggled to meet Sony’s expectations or that the project itself encountered insurmountable technical or creative hurdles. The lack of any public announcement regarding the studio’s work further fuels speculation.
Blundell’s history with Deviation Games provides additional context. The studio, launched in June 2021 with Dave Anthony, another ex-Treyarch veteran, had similar ambitions of creating innovative first-party experiences for Sony. However, despite attracting experienced talent, Deviation Games ultimately faltered, highlighting the challenges of building and sustaining a successful first-party studio in today’s competitive gaming market.
The implications of these closures extend beyond the immediate impact on the affected employees. They signal a potential shift in Sony’s strategy, perhaps prioritizing investment in existing studios or focusing on different types of projects. The company has not yet issued a formal statement addressing the shutdown of Dark Outlaw Games or the layoffs in its mobile division.
The saga of Dark Outlaw Games serves as a stark reminder of the high-stakes nature of the gaming industry and the constant pressure to deliver innovative and commercially successful products. It’s a sobering tale of ambition, investment, and ultimately, a project that vanished without a trace.
