PlayStation Closes Firewalk Studios After Shutting Down ‘Concord’ Video Game

Sony Interactive Entertainment (SIE) has closed Firewalk Studios following the sunsetting of its live services game “Concord” in September. The PlayStation owner has also decided to shutter studio Neon Koi.

“I know none of this is easy news to hear, particularly with colleagues and friends departing SIE,” PlayStation CEO of the studio business group Hermen Hulst said in a memo to staff Tuesday. “Both 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.”

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While PlayStation took “Concord” offline Sept. 6, the company had indicated the possibility that the Firewalk-produced game could return in some form in the future.

PlayStation’s decision to shut down Firewalk comes just over a year and a half after acquiring the studio.

Hulst said Tuesday “certain aspects of Concord were exceptional, but others did not land with enough players, and as a result we took the game offline.” 

“We have spent considerable time these past few months exploring all our options,” he continued. “After much thought, we have determined the best path forward is to permanently sunset the game and close the studio.   I want to thank all of Firewalk for their craftsmanship, creative spirit and dedication. The PvP first person shooter genre is a competitive space that’s continuously evolving, and unfortunately, we did not hit our targets with this title. We will take the lessons learned from ‘Concord’ and continue to advance our live service capabilities to deliver future growth in this area.”

For 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: “While mobile remains a priority growth area for the Studio Business, we are in the very early stage of our mobile efforts” and “to achieve success in this area we need to concentrate on titles that are in-line with PlayStation Studios’ pedigree and have the potential to reach more players globally.” “With this re-focused approach, Neon Koi will close, and its mobile action game will not be moving forward,” the PlayStation studio chief said.

These studio closures come five months after Hulst and Hideaki Nishino took over as CEOs of PlayStation and on the heels of Sony’s studio Bungie laying off more than 200 employees in August.

See below for Hulst’s full letter to employees.

Dear Team, 

Today, I want to share some important updates from Sony Interactive Entertainment’s Studio Business Group.   

We 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’s Studio Business, we have had to make a difficult decision relating to two of our studios – Neon Koi and Firewalk Studios.  

Expanding 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.  We need to be strategic, though, in bringing our games to new platforms and recognize when our games fall short of meeting player expectations.   

While mobile remains a priority growth area for the Studio Business, we are in the very early stage of our mobile efforts.  To achieve success in this area we need to concentrate on titles that are in-line with PlayStation Studios’ pedigree and have the potential to reach more players globally.  

With 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.   

Regarding Firewalk, as announced in early September  (An Important Update on Concord), certain aspects of Concord were exceptional, but others did not land with enough players, and as a result we took the game offline.  We have spent considerable time these past few months exploring all our options.   

After much thought, we have determined the best path forward is to permanently sunset the game and close the studio.   I want to thank all of Firewalk for their craftsmanship, creative spirit and dedication.  

The PvP first person shooter genre is a competitive space that’s continuously evolving, and unfortunately, we did not hit our targets with this title. We will take the lessons learned from Concord and continue to advance our live service capabilities to deliver future growth in this area.   

I know none of this is easy news to hear, particularly with colleagues and friends departing SIE.  Both 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. 

I am a big believer in the benefits of embracing creative experimentation and developing new IP. However, growing through sustainable financials, especially in a challenged economic environment is critical.   

While today is a difficult day, there is much to look forward to in the months ahead from the Studio Business Group and our teams.  I remain confident that we are building a resilient and capable organization driven by creating unforgettable entertainment experiences for our players.   

Thank you for your continued support.