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\n\tSony Interactive Entertainment<\/a> (SIE) has closed Firewalk Studios<\/a> following the sunsetting of its live services game \u201cConcord\u201d in September<\/a>. The PlayStation<\/a> owner has also decided to shutter studio Neon Koi.<\/p>\n \n\t\u201cI know none of this is easy news to hear, particularly with colleagues and friends departing SIE,\u201d PlayStation CEO of the studio business group Hermen Hulst said in a memo to staff Tuesday. \u201cBoth decisions were given serious thought, and ultimately, we feel they are the right ones to strengthen the organization. Neon Koi and Firewalk were home to many talented individuals, and we will work to find placement for some of those impacted within our global community of studios where possible.\u201d<\/p>\n \n\tWhile PlayStation took \u201cConcord<\/a>\u201d offline Sept. 6, the company had indicated the possibility that the Firewalk-produced game could return in some form in the future.<\/p>\n \n\tPlayStation\u2019s decision to shut down Firewalk comes just over a year and a half after acquiring the studio.<\/a><\/p>\n \n\tHulst said Tuesday \u201ccertain aspects of Concord were exceptional, but others did not land with enough players, and as a result we took the game offline.\u201d\u00a0<\/p>\n \n\t\u201cWe have spent considerable time these past few months exploring all our options,\u201d he continued. \u201cAfter much thought, we have determined the best path forward is to permanently sunset the game and close the studio.\u202f\u202f\u202fI want to thank all of Firewalk for their craftsmanship, creative spirit and dedication.\u00a0The PvP first person shooter genre is a competitive space that\u2019s continuously evolving, and unfortunately, we did not hit our targets with this title. We will take the lessons learned from \u2018Concord\u2019 and continue to advance our live service capabilities to deliver future growth in this area.\u201d<\/p>\n \n\tFor the mobile game-focused Neon Koi (which was rebranded from Savage Game Studios by Sony in November 2023 after first being acquired in 2022), Hulst said: \u201cWhile mobile remains a priority growth area for the Studio Business, we are in the very early stage of our mobile efforts\u201d and\u00a0\u201cto achieve success in this area we need to concentrate on titles that are in-line with PlayStation Studios\u2019 pedigree and have the potential to reach more players globally.\u201d \u201cWith this re-focused approach, Neon Koi will close, and its mobile action game will not be moving forward,\u201d the PlayStation studio chief said.<\/p>\n \n\tThese studio closures come five months after Hulst and Hideaki Nishino took over as CEOs of PlayStation and on the heels of Sony\u2019s studio Bungie laying off more than 200 employees in August.<\/p>\n \n\tSee below for Hulst\u2019s full letter to employees.<\/p>\n \n\tDear Team,\u00a0<\/em><\/p>\n \n\tToday, I want to share some important updates from Sony Interactive Entertainment\u2019s Studio Business Group.\u00a0\u00a0\u00a0<\/em><\/p>\n \n\tWe consistently evaluate our games portfolio and status of our projects to ensure we are meeting near and long-term business priorities. As part of our ongoing efforts to strengthen SIE\u2019s Studio Business, we have had to make a difficult decision relating to two of our studios \u2013 Neon Koi and Firewalk Studios.\u00a0\u00a0<\/em><\/p>\n \n\tExpanding beyond PlayStation devices and crafting engaging online experiences alongside our single-player games are key focal areas for us as we evolve our revenue streams.\u00a0 We need to be strategic, though, in bringing our games to new platforms and recognize when our games fall short of meeting player expectations.\u00a0\u00a0\u00a0<\/em><\/p>\n \n\tWhile mobile remains a priority growth area for the Studio Business, we are in the very early stage of our mobile efforts.\u00a0 To achieve success in this area we need to concentrate on titles that are in-line with PlayStation Studios\u2019 pedigree and have the potential to reach more players globally.\u00a0\u00a0<\/em><\/p>\n \n\tWith this re-focused approach, Neon Koi will close, and its mobile action game will not be moving forward. I want to express my gratitude to everyone at Neon Koi for their hard work and endless passion to innovate.\u00a0\u00a0\u00a0<\/em><\/p>\n