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Rumor: PlayStation Closing Dark Outlaw Games And Having More Layoffs After Exiting Mobile Games

March 25, 2026 by Ryan Parreno

Eight studios since PlayStation 5 launched.

PlayStation is reportedly closing another studio after Bluepoint Games last month.

As shared on ResetERA by user J-Soul, Dark Outlaw Games is next on the chopping block. This is the second studio founded by Jason Blundell after leaving Activision and the Call of Duty franchise.

Blundell originally left Activision in 2020 and founded the studio Deviation games. Deviation signed a deal to make a PlayStation IP, but they never finished this project.

After Blundell left Deviation in 2022, Deviation shut down in 2024. We reported on rumors that Blundell founded a new studio with PlayStation last year.

Blundell would reveal this studio in a podcast shortly after, and this was Dark Outlaw Games. Blundell said that Dark Outlaw would emerge when they have something to show, and that sadly did not come to pass.

J-Soul also claims Sony is moving away from mobile gaming. As a result, they will have a ‘small’ number of layoffs in the US and UK.

As noted by PushSquare, Sony has closed a total of 8 studios since 2020, when the PlayStation 5 launched.

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