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Sony Interactive Entertainment has closed Dark Outlaw Games, a studio it set up in March 2025 under the leadership of Call of Duty veteran Jason Blundell. The news was first reported by ResetEra user J-Soul and later confirmed by Bloomberg’s Jason Schreier. According to J-Soul, the studio was still in the very early stages of its first project at the time of the closure. The number of staff employed by the studio has not been confirmed.
More layoffs today: PlayStation is closing Dark Outlaw Games, a studio formed last year by former Call of Duty lead Jason Blundell (his previous PlayStation studio, Deviation, was shut down in 2024).
PlayStation is also making other cuts including in mobile development. Around 50 people laid off.
— Jason Schreier (@jasonschreier.bsky.social) Mar 25, 2026 at 2:10 AM
This is not the first time a Blundell-linked studio has been shut down by PlayStation. Before Dark Outlaw Games, Blundell co-founded Deviation Games, an independent studio that was also working with Sony Interactive Entertainment on a new IP. Blundell left Deviation in September 2022, and the studio was shut down in March 2024. It was later revealed in December 2023 that Blundell had already begun working directly for Sony Interactive Entertainment, which eventually led to the creation of Dark Outlaw Games.
Beyond the studio closure, Sony Interactive Entertainment is also making additional cuts, particularly in its mobile games division. Schreier reports that around 50 staff members have been affected in total. J-Soul added that these cuts reflect a move away from the mobile market, though Sony still plans to support previously announced mobile titles such as MLB The Show Mobile and Ratchet & Clank: Ranger Rumble.
