Dark Outlaw Games, the PS Studios Team Led by COD Zombies Vet Jason Blundell Has Reportedly Been Shut Down [Update]

David Carcasole
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PlayStation Studios team Dark Outlaw Games has reportedly been shut down.

Update 25/03/2026: In a statement sent to PC Gamer, a Sony spokesperson confirmed that Dark Outlaw Games has been shut down, and that the studio had made cuts to staff, but did not provide details as to where those cuts were or how many employees were impacted. You can read the statement, per PC Gamer, below.

"Sony Interactive Entertainment's Studio Business Group has made several strategic adjustments to support long-term sustainability. As part of this process, there were limited workforce reductions across select teams. We greatly appreciate the contributions of all those impacted."

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Original Story:

Almost exactly a year ago today, Sony and PlayStation Studios announced the founding of a new studio under the PS Studios banner: Dark Outlaw Games. The studio would be led by Jason Blundell, who had recently co-founded Deviation Games, an independent studio that was initially said to be working on a live service game for PlayStation. Blundell left Deviation shortly before it was shut down, and now, Blundell has seemingly gone down with the ship, as Dark Outlaw Games, just one year later, has reportedly been shut down.

First spotted on ResetEra, user J-Soul shared that Dark Outlaw Games would be closed, claiming that the studio had been in the early stages of what was to be its debut project, though PlayStation clearly decided not to continue with it. The user adds that there are "an unspecified number of layoffs within PlayStation in the US and UK" taking place, and that the cuts are "said to be small."

The user also added that these cuts are part of PlayStation beginning to move away from the mobile market, and that beyond existing titles like MLB The Show Mobile, Ratchet & Clank: Ranger Rumble, and upcoming NCSOFT titles, it will be "scaling back in this space" in order to "focus our efforts on a few select high impact projects."

All of that was just a user claiming those things on ResetEra, until Bloomberg's Jason Schreier semingly confirmed the news, corroborating that Dark Outlaw had been shut down, and that PlayStation was cutting "around 50 people" in its mobile departments. Though Schreier did not include specifics around games or quotes seemingly coming from PlayStation.

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) 2026-03-24T18:10:02.888Z

There's been no additional communication from Sony or PlayStation at the time of this writing, and while we've reached out to PlayStation for a comment, we have yet to receive a response.

It's unfortunately a day of layoffs in the video game industry, as this news comes just hours after Epic Games cut over 1,000 people due to Fortnite currently struggling.

David Carcasole Photo

About the author: David has been writing about videogames, technology, and culture since 2020, with a focus on reporting daily news across multiple publications, including GameDaily.Biz, GameSkinny, and PlayStation Universe before joining Wccftech in 2025. David started contributing as Canada/US reporter for Wccftech's gaming section in 2025. Besides being up-to-date on the industry's movements, he loves interviewing developers, reviewing games, and writing intricate essays about the symbolism and layered meanings to be found in rich narratives as he's done for publications like GamesIndustry.Biz, LostInCult, and others. Outside of games he loves movies, music, theatre, his hometown, and his family, though not necessarily in that order.

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