Highlights
- Around 50 layoffs are reported as Sony shuts down internal studio, Outlaw Games.
- The studio founded by Call of Duty veteran Jason Blundell in 2024 worked on an unannounced project.
- The move follows Bluepoint Games' shutdown amid broader industry layoffs.
Sony has shut down first-party studio Dark Outlaw Games. The Los Angeles-based PlayStation Studios team was founded in 2024 by Call of Duty veteran Jason Blundell. The decision was confirmed on March 24, 2026, and includes workforce reductions affecting multiple groups. Reports indicate roughly 50 roles were impacted, including cuts tied to PlayStation’s mobile operations.
Bloomberg reporter Jason Schreier first reported the closure, later noting that the layoffs extended beyond the studio itself. Sony confirmed the move, stating that “Sony Interactive Entertainment's Studio Business Group has made several strategic adjustments to support long-term sustainability.” The company added that “there were limited workforce reductions across select teams.”
Dark Outlaw Games was a small internal team working on an unannounced project still in early development. LinkedIn data lists the studio’s company size as 11-50 employees with 14 associated members.
The studio was formally unveiled in March 2025 but had been operating internally since its founding in 2024.
PlayStation Restructuring Follows Bluepoint Closure
The shutdown marks Sony’s second PlayStation Studios closure in two months. In February, the company closed Bluepoint Games following a business review, after unsuccessful pitches for a Bloodborne remake and a Ghost of Tsushima spinoff. Around 70 jobs were affected by that decision.
Blundell previously co-founded Deviation Games in 2020 to develop an original AAA project for PlayStation. He left in 2022, and the studio shut down in 2024 without releasing a game.
The closure of Dark Outlaw Games aligns with broader industry cuts. Epic Games laid off more than 1K employees, while Ubisoft, Amazon, and Crystal Dynamics have also announced reductions in recent months. Altogether, Sony’s move reflects continued restructuring across major publishers, prioritizing long-term sustainability.
