Neon Koi and Firewalk Studios Shut Down

Business

30 October 2024 09:48

Sony Interactive Entertainment has announced the closure of two of its studios, Neon Koi and Firewalk Studios, as part of a reevaluation of its games portfolio and long-term business priorities.

In a recent update to employees, Hermen Hulst, CEO of the Studio Business Group at Sony, stated that the decision was "difficult" but necessary to focus on projects aligned with PlayStation Studios’ pedigree and potential for broader global reach.

Regarding Neon Koi, Hulst noted, "while mobile remains a priority growth area for the studio business, we needed to concentrate on titles that are in-line with PlayStation Studios’ pedigree and have the potential to reach more players globally."

For Firewalk Studios, Hulst explained that the company had "spent considerable time these past few months exploring all our options" but ultimately concluded that "the best path forward is to permanently sunset the game and close the studio."

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The exact number of employees affected by these closures remains unclear. According to LinkedIn, Firewalk employs between 51 to 200 people, while Neon Koi has a staff of 11 to 50.

"I know none of this is easy news to hear, particularly with colleagues and friends departing SIE," Hulst added. "Both decisions were given serious thought, and ultimately, we feel they are the right ones to strengthen the organisation."

Tags: Firewalk Studios

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