Netflix closes SoCal gaming studio, top devs depart

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The big picture: Netflix has shut down its AAA gaming studio in Southern California, one of several development studios the company had added to its budding gaming portfolio in recent years. The closure includes the departure of at least three industry veterans, and calls into question Netflix’s overall gaming strategy.

The streaming giant launched its gaming initiative in late 2021 with a handful of mobile titles. The company continued the push into 2022 with the acquisition of Next Games and Boss Fight Entertainment, and even announced plans to build its own studio in Finland.

By early 2023, Netflix had more than 55 games in its stable including established hits like TMNT: Shredder’s Revenge and Twelve Minutes. GTA Trilogy was added later in the year, and the award-winning Monument Valley joined Netflix Games just last month.

The effort seemed to be trending in the right direction, but news of the SoCal studio closure does present some questions. Game File, who was first to report on the subject, further notes that three splash hires have also left.

Near the end of 2022, Netflix hired Chacko Sonny – an executive producer on Overwatch – from Blizzard to help out at the SoCal studio. The streaming giant added Joseph Staten, who helped build the Halo franchise with Bungie and 343 Industries, in the spring of 2023 along with Rafael Grassetti, formerly the art director for the God of War series at Sony Santa Monica.

The closure and talent departure suggests Netflix is rethinking the direction it wants to take its gaming arm, and that might not be a bad thing. Slow and steady often wins the race and from the outside, it seemed as if Netflix was doing a decent job of slowly building the division with established franchises like GTA, Sonic the Hedgehog, and Monument Valley.

Games are included at no extra cost with your Netflix membership. They are ad-free, and have no in-app purchases or other hidden fees. Check the app store on Android or iOS to get started.

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