Sony Interactive Entertainment exec Herman Hulst has recently explained the company's decision to shut down the Demon's Souls remake developer Bluepoint Games, citing a myriad of environmental factors from changing player behavior to ballooning development costs.
In an email sent to staff that Kotaku obtained, Hulst praised some projects that are doing well, like Death Stranding 2, Ghost of Yotei, Helldivers 2, and MLB The Show. However, when it came to the Texas-based studio Bluepoint Games, Hulst explained that certain factors were "making it harder" to build games sustainably.
"At the same time, we're operating in an increasingly challenging industry environment," Hulst said. "Rising development costs, slowed industry growth, changing player behavior, and broader economic headwinds are making it harder to build games sustainably. To navigate this reality, we need to continue adapting and evolving. We've taken a close look at our business to ensure we’re delivering today while still well-positioned for the future. As a result, we will be closing Bluepoint Games in March."
Hulst praised Bluepoint Games for delivering "exceptional experiences for the PlayStation community" and thanked the team for their "creativity, craftsmanship, and commitment to quality." He said that PlayStation will attempt to find jobs for "some" of the laid-off staff within their global network of studios. And although Hulst admitted that this is difficult news to share, he posited that he's "confident in the direction" the company's heading, stating that "creativity, innovation, and building unforgettable experiences for players" is still a vital component of the PlayStation Studios ethos.
"We have a robust roadmap for FY26, with much to look forward to in the months ahead," Hulst concluded. "Thank you for your hard work and continued support."
Founded in 2006 in Austin, Texas, Bluepoint Games was best known for making a myriad of remakes of classic PlayStation games, like Ico and Shadow of the Colossus. Its greatest claim to fame was 2020's Demon's Souls remake, which was an absolutely stunning redo of From Software's iconic dark fantasy death sim. After releasing Demon's Souls and providing some support on God of War: Ragnarok two years later, the team then started working on a live-service God of War project that PlayStation canceled in January 2025. And now, the studio is set to close up shop in March, demonstrating Sony's biggest failures during this console generation.
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In an email sent to staff that Kotaku obtained, Hulst praised some projects that are doing well, like Death Stranding 2, Ghost of Yotei, Helldivers 2, and MLB The Show. However, when it came to the Texas-based studio Bluepoint Games, Hulst explained that certain factors were "making it harder" to build games sustainably.
"At the same time, we're operating in an increasingly challenging industry environment," Hulst said. "Rising development costs, slowed industry growth, changing player behavior, and broader economic headwinds are making it harder to build games sustainably. To navigate this reality, we need to continue adapting and evolving. We've taken a close look at our business to ensure we’re delivering today while still well-positioned for the future. As a result, we will be closing Bluepoint Games in March."
Hulst praised Bluepoint Games for delivering "exceptional experiences for the PlayStation community" and thanked the team for their "creativity, craftsmanship, and commitment to quality." He said that PlayStation will attempt to find jobs for "some" of the laid-off staff within their global network of studios. And although Hulst admitted that this is difficult news to share, he posited that he's "confident in the direction" the company's heading, stating that "creativity, innovation, and building unforgettable experiences for players" is still a vital component of the PlayStation Studios ethos.
"We have a robust roadmap for FY26, with much to look forward to in the months ahead," Hulst concluded. "Thank you for your hard work and continued support."
Founded in 2006 in Austin, Texas, Bluepoint Games was best known for making a myriad of remakes of classic PlayStation games, like Ico and Shadow of the Colossus. Its greatest claim to fame was 2020's Demon's Souls remake, which was an absolutely stunning redo of From Software's iconic dark fantasy death sim. After releasing Demon's Souls and providing some support on God of War: Ragnarok two years later, the team then started working on a live-service God of War project that PlayStation canceled in January 2025. And now, the studio is set to close up shop in March, demonstrating Sony's biggest failures during this console generation.
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