Two years after unveiling a new studio aimed at building 'the next big thing in gaming,' Netflix has closed it down

Netflix’s big-time gaming ambitions appear to have hit a slippery patch, as Gamefile experiences that the inner studio often known as Staff Blue has been closed.

Staff Blue was revealed, with out the catchy title, in October 2022, and appeared to suggest an actual escalation of Netflix’s gaming ambitions. The corporate stated in 2021 that its transfer into gaming could be centered totally on cellular video games, however a 12 months later it was “significantly exploring” cloud gaming and hiring some huge names for its second inner studio, together with former Overwatch government producer Chacko Sonny as studio head, former Halo Infinite artistic lead Joseph Staten, and former Sony Santa Monica artwork director Rafael Grassetti.

Mike Verdu, then serving as vice chairman of gaming at Netflix, stated when the studio was introduced that “you aren’t getting individuals like [Sonny] coming to your organisation to construct the subsequent huge factor in gaming except there is a sense that we’re actually in it for the lengthy haul.” These phrases, sadly, proved to be the alternative of prophetic: The venture by no means noticed the sunshine of day and all three executives are now not with the corporate, in accordance with the report.

A cause for the closure wasn’t offered, but it surely feels fairly sudden. Former Blizzard and Bungie design lead Gavin Irby, who joined the studio in October 2023, shared a job itemizing for a senior technical designer on the studio on LinkedIn simply two months in the past.

However there have been some current adjustments on the high: Alain Tascan, beforehand the chief vice chairman of sport improvement at Epic, joined Netflix in July as its new president of video games, whereas Verdu moved to a brand new position specializing in “transformative innovation in sport creation and improvement,” no matter which means.

Netflix has had some notable successes with its cellular platform, together with the well-regarded Oxenfree 2: Misplaced Indicators and the Grand Theft Auto trilogy, which Take-Two CEO Strauss Zelnick stated in February was “a powerful success, rapidly yielding the very best charge of installs and engagement on [Netflix’s] sport platform.”

Even so, whereas Netflix is not backing off on video games utterly, it does sound like the main focus is shifting. In an October traders name, co-CEO Gregory Peters stated Netflix is “enthusiastic about video games primarily based on Netflix IPs,” together with Squid Sport, Virgin River Christmas, and The Ultimatum, and in addition talked about the upcoming launch of Monument Valley 3, which will probably be unique to Netflix Video games. The lofty ambitions of 2022 and “the subsequent huge factor in gaming” went totally unmentioned.

Gamefile’s Stephen Totilo stated one thing very related on X, writing that the closure of Staff Blue is “positively an indication of latest leaders pulling again from one huge wager,” however including that Netflix has different studios nonetheless working and firm executives “appear hyped on development targets and present tie-in video games.”

Netflix confirmed with PC Gamer that the Gamefile report is correct however declined to remark additional.