Dark Outlaw’s Cancelled Game Wasn’t Live Service, Creator Says It Would’ve Been ‘Incredible’

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Following the closure of Dark Outlaw Games, studio director Jason Blundell, a veteran of the Call of Duty franchise, discussed the studio’s canceled PlayStation project in a livestream with JCbackfire, formerly a level designer at the studio. According to Blundell and JCbackfire, the team had been developing a title that was not a live service game. JCbackfire expressed his enthusiasm for the project, stating, “It wasn’t a live service game, which personally left me very excited… it was simply something I truly wanted to do.” While confidentiality agreements prevented either Blundell or JCbackfire from disclosing specific details, Blundell stated that the cancellation stemmed from a shift in Sony’s strategic focus. “I can assure you, and this was assured to me, that times change, focus shifts, but fans would have been very excited about the project we were making,” Blundell said, adding, “The best game is the one you’ve never played.” In related news, Denys Feklisov, a founder of Denoize Studio, has stepped down after a dispute with another co-founder regarding creative vision and business plans. Denoize Studio is known for launching the indie game Zero Parade in 2025, and this leadership change could impact the studio’s upcoming projects.

Closure of Dark Outlaw Games Affects 50 Employees; Second PlayStation Studio Shuttered by Blundell Since 2024

Dark Outlaw Games’ closure in March 2026 resulted in approximately 50 employees losing their jobs. Sony cited increased development costs, a slowing gaming industry, and broader economic challenges as the reasons for the closure, citing the need for various strategic adjustments to maintain a sustainable business model. Dark Outlaw Games was shuttered almost exactly one year after its founding by PlayStation. This marks the second PlayStation studio closure involving Blundell, following Deviation Games in 2024. After leaving Activision in 2020, where he spent 13 years at Treyarch as co-studio head and contributed to the Call of Duty Zombies mode, Blundell became involved with Deviation Games and Dark Outlaw Games. These closures highlight the ongoing volatility and strategic shifts within the gaming industry.

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