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Sony has confirmed the closure of Firewalk Studios and Neon Koi, marking a significant shift in its live-service strategy. Firewalk Studios, the developer behind the multiplayer shooter Concord, and Neon Koi, a mobile game studio, will both shut down, affecting approximately 210 employees, according to Bloomberg. This decision follows Concord’s underwhelming launch and subsequent removal from platforms shortly after release.
Firewalk is signing off one last time.
Firewalk began with the idea of bringing the joy of multiplayer to a larger audience. Along the way we assembled an incredible team who were able to:
– Navigate growing a new startup into a team during a global pandemic: Firewalk was…— Firewalk (@FirewalkStudios) October 29, 2024
In a message to PlayStation staff, Hermen Hulst, CEO of PlayStation Studios, stated, “After considerable time spent exploring our options, we determined the best path forward is to sunset the game and close the studio. I want to thank all of Firewalk for their craftsmanship, creative spirit, and dedication.” Despite months of evaluation, Sony concluded that Concord, which debuted on August 23 for PS5 and PC but was taken offline on September 6, did not meet expectations in a competitive market. The game saw low player engagement, peaking at just 697 concurrent players on Steam, lower than the launch peak of The Lord of the Rings: Gollum.
Hulst also noted Sony’s commitment to learning from Concord’s challenges as it looks to bolster its live-service offerings. “We will take the lessons learned from Concord and continue to develop in this area,” he stated. This reflects Sony’s intent to strengthen its live-service capabilities, even as the company steps back from projects that didn’t meet internal goals.
Alongside Firewalk, Neon Koi—a mobile studio formerly known as Savage Game Studios, acquired by Sony in 2022—will also close. Initially tasked with developing a high-profile mobile action game, Neon Koi’s project has been scrapped as part of Sony’s broader resource realignment. Hulst remarked that while mobile remains a growth priority, the decision to close Neon Koi was made to “strengthen the organization.”
Some affected employees from both studios may find roles within Sony’s other divisions, although the closures add to the troubling trend of layoffs within the gaming industry.
