Bluepoint Games is dead - and Sony has pulled the trigger itself

Rainer Etzweiler

23.2.2026

Translation: machine translated

The studio behind the acclaimed remakes of "Demon's Souls" and "Shadow of the Colossus" no longer exists. Bluepoint has belonged to Sony for years, and now it's suddenly over. A story without a winner.

What was the best launch game for the Playstation 5? For many, it was clearly the «Demon's Souls» remake from Bluepoint Games.

Originally released in 2009 for the PS3, From Software's action RPG laid the foundations for the Souls-like genre, which was later revolutionised with «Dark Souls» and perfected with «Elden Ring». In 2020, «Demon's Souls» received a graphical glow-up from the Texan studio.

Bluepoint had already delighted fans two years earlier with the famous remake of the PS2 cult hit «Shadow of the Colossus». Before that, the Americans delighted fans with remaster collections of «Uncharted», «God of War» and «Metal Gear».

Not only were fans happy with Bluepoint Games' outstanding output, but Sony also recognised the developers' talent and bought the studio in 2021.

I find it all the more incomprehensible that the Playstation Group announced on 20 February 2026 that Bluepoint Games would be closed.

Tumult at Sony

The news comes at the worst possible time. Not that there's ever a great time for such bad news, but Sony has been on fire for a while now. I wrote about some of the mistakes in detail in my article on the company's fifth anniversary. I'll briefly repeat the most frustrating ones here:

• At the start of the PS5 generation, Sony announced an ambitious 12 live-service titles, which went down about as well in the Community as a gender-swap in a Marvel movie. Half of these projects were later cancelled without replacement.
• The collateral damage was the employees. In February 2024, over 900 employees lost their jobs. Around 8 per cent of the workforce.
• Paradoxically, the company went on a major shopping spree shortly before this and acquired a total of ten studios. These included Housemarque («Returnal»), Insomniac («Ratchet & Clank») and Bungie («Destiny»). Six of these were downsized or closed down immediately after the acquisition.
• The Bungie deal in particular raised questions. Sony paid 3.6 billion US dollars for the «Destiny» developer. Massively too much, according to industry insiders and analysts.
• Firewalk Studios and its multiplayer shooter «Concord» also ended up in the cart. «Concord» was online for less time than it took me to brush my teeth and cost Sony several hundred million US dollars.
• The hardware update with the PS5 Pro comes in 2024. The console costs as much as a room in a shared flat near the centre of Zurich - not including the disc drive.
• In the same year, Sony buried the PSVR2. Although «burying» is actually the wrong term. Rather, Sony left the gadget lying dead in a corner and hoped that no one would notice the smell of decay.

In addition to these more serious blunders, controversies arise time and again, with which the brand continuously squanders goodwill. For example, the avoidable drama surrounding the PSN ban for PC gamers. Or the fact that nobody at Sony seems to be able to sleep peacefully if a new version of «The Last of Us» isn't released at least every fortnight.

Now the closure of Bluepoint Games joins this sad résumé. Fans and media are left baffled.

Did Bluepoint Games want to develop a live service game?

In the words of the Angry Video Game Nerd: «What were they thinking?!»

After the takeover by Sony, Bluepoint Games worked primarily on one game: a live-service spin-off of «God Of War».

Here I lack any understanding of why this project was waved through. Who has ever played «God of War» and thought: «It's cool, but it would be even better if a bad-tempered fellow player shouted in my ear that he had slept with my mum.»

Storytelling and character development are the DNA of the Gods franchise. An online version of this already sounds like an unspeakable idea on paper.

How the project ended up on the Texan studio's table is unknown. According to unconfirmed statements, Bluepoint Games wanted to get out of the remaster/remake niche. But would a team that is aware of its own strengths choose to produce a live service game first? It's not just a different kind of game, it's a whole new playing field.

In addition, the studio would have been too small for this task. At last count, Bluepoint Games employed just under 80 people. Of course, even 80 people without live service experience could theoretically manage such a project, but the chances of success are low.

By way of comparison, over 100 people worked on «Highguard», the Internet's latest live service punching bag. They were led by a team consisting of ex-«Apex Legends» developers - the creators of one of the best multiplayer shooters of the last ten years. Despite a better starting position, everything currently indicates that «Highguard» will also fail.

So how was it ever realistic for a smaller team with no genre background to deliver a coherent product? And even if the impetus for this came from Bluepoint itself, wouldn't it be the job of a good manager to turn down the pitch? Cobbler and last and all that.

I can write quite well, but that doesn't mean I've got what it takes to write scripts (although: I've had an idea lying dormant for a while. A mime realises that he can lock people in invisible boxes and uses this power to win over his lover. An erotic comedy with Nicolas Cage in the lead role and Idris Elba as his antagonist. A24, you've got my number).

The Inconvenient Truth

Playstation co-CEO Herman Hulst justifies the closure of Bluepoint Games with «industry challenges», «changing player behaviour» and «difficult economic conditions». His statement reads like a bullshit bingo of the usual tech company excuses. You look in vain for personal responsibility or self-reflection.

In all fairness, it must be mentioned that Hulst is not the only one to blame for the misery. Many of the issues mentioned above are the result of Jim Ryan's mismanagement. Hulst's predecessor held the Sony reins from 2019 to 2024, during which time he established a dogmatic live service-first approach.

Now you could argue: Live service is simply where the money is. And the figures back this up - 53 per cent of Playstation sales are generated by just ten titles. In the 2024 financial year (ending in March 2025), these were:

• EA FC
• Roblox
• Call of Duty
• NBA 2K
• EA Play
• Fortnite
• Genshin Impact
• EA College Football
• GTA 5
• Ubisoft+ Classics

It is understandable that Sony is working hard in this field. But why does it all seem so haphazard? Does Sony even have a recognisable strategy or is it simply rolling the dice as to which studio will be the next to take the rap for a live service experiment? The past six years suggest the latter.

I also find the discrepancy between the success of Playstation and the ongoing reduction in personnel disturbing. Most recently, Sony recorded a year-on-year increase of 9 per cent in the video games segment - during the same period, three studios were closed.

He who sows the wind...

When the «Concord» developer Firewalk Studios was closed, the Community was overwhelmed with glee. Bluepoint Games is a different story. Many fans are currently venting on Playstation's social media channels. «I have lost all trust. Bluepoint was one of the most talented studios», is one of the few comments on X that I can reproduce here uncensored.

The excitement will do little to change Sony's strategy. What's more, the electronics company has other worries at the moment: According to various sources, the AI-related RAM shortage is forcing Sony to postpone the successor to the PS5. The PS6 is expected to be released in 2028 at the earliest. Confirmation is still pending.

Perhaps the decision-makers want to use the time they have until then for a bit of self-discovery. The industry needs it - and Sony in particular. Because while the company is busy celebrating its quarterly figures, a pile of broken glass from closed studios and frustrated consumers is piling up in the background.

Final fun fact after this dreary analysis: I thought the game was called «Demon Souls» until today. I missed the genitive s for 16 years. Ok, «fun» is different. Sorry.

Rainer Etzweiler

Freelance Editor

rainer@rockstar.ch

In the early 90s, my older brother gave me his NES with The Legend of Zelda on it. It was the start of an obsession that continues to this day.

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