PlayStation shut down Dark Outlaw Games just one year after its founding!

According to information from Jason Schreier (of Bloomberg), PlayStation recently shut down Dark Outlaw Games before they could release their first game.

For those who don't know, Dark Outlaw Games was founded in March 2025 by Jason Blundell – the head of Call of Duty: Zombies.

At the time, Blundell stated that he and his team were working diligently 'in the shadows' and couldn't reveal anything yet. However, once Dark Outlaw Games is ready to announce the project, they will share information about it with everyone.

More layoffs today: PlayStation is closing Dark Outlaw Games, a studio formed last year by former Call of Duty lead Jason Blundell (his previous PlayStation studio, Deviation, was shut down in 2024). PlayStation is also making other cuts including in mobile development. Around 50 people laid off.

— Jason Schreier (@jasonschreier.bsky.social) March 24, 2026 at 2:10 PM

However, this did not happen, and the studio had to close after only one year of operation. Notably, this was also the second Blundell company to be shut down by PlayStation .

Deviation Games, his previous company, was shut down by the company in 2024.

At the time of writing, the reason for Dark Outlaw Games' closure remains a huge mystery.

In addition to closing the studio, Schreier also stated that PlayStation is in the process of downsizing its mobile game team. Specifically, around 50 people will be affected by this round of layoffs.