Sony Pulls the Plug: Firewalk Studios Closes After Concord’s $200M+ Stumble

In a dramatic turn of events that’s sending ripples through the gaming industry, Sony has officially shuttered Firewalk Studios, marking the end of what might be one of gaming’s most expensive miscalculations. The closure follows the catastrophic launch of their online shooter Concord, which reportedly cost between $200-400 million to develop but sold fewer than 15,000 copies.

The Numbers Tell the Story

The shutdown impacts 269 professionals, with 231 from Firewalk and 38 from mobile gaming studio Neon Koi. According to Bloomberg’s report, PlayStation chairman Hermen Hulst acknowledged the difficult decision in an internal memo, citing the highly competitive nature of the PvP first-person shooter market as a key factor.

Eight Years of Development, Eight Days of Life

What makes Concord’s failure particularly striking:

• 8 years of development time
• Estimated $200-400 million budget
• Less than 15,000 copies sold
• Servers closed within days of launch

Learning from Failure

“We’ll learn from Concord and continue to expand our gaming-services capabilities,” Hulst stated in his memo. This setback highlights the challenges gaming giants face when entering the crowded live-service market, where established titles like Fortnite and Apex Legends dominate.

While Firewalk previously hinted at Concord’s potential return in an updated form, the studio’s closure effectively ends any such possibilities. The gaming industry’s increasing focus on live-service games continues to prove that even substantial budgets and extended development times don’t guarantee success in this highly competitive space.

This development marks Sony’s latest challenge in the live-service gaming market, raising questions about the company’s future strategy in this space. For now, it serves as a stark reminder that in the gaming industry, innovation and market understanding often matter more than sheer investment.

Source: Bloomberg