The game industry's core issues go beyond Xbox, and PlayStation's shutdown of Bluepoint proves it's far more widespread

Yesterday, PlayStation made one of the most head-scratching decisions I’ve seen a major publisher make as it shut down one of its globally beloved studios, Bluepoint Games. Matching, maybe even surpassing the closure Microsoft handed to Tango Gameworks, Sony has done something that I can only ask, “But why?”

Bluepoint Games was the mastermind behind some of the most incredible remasters and remakes I’ve ever seen. Heck, let’s be truthful, Demon's Souls was quite possibly the best remake of all time, and that’s coming from a former die-hard Xbox guy.

When I opened Demon’s Souls for the first time in 2020, you could have told me it was an entirely new game, and I would have believed you. Nothing about it screamed 'remake' to me, and to this day, it feels like one of the best demonstrations of PlayStation's hardware potential.

What this closing does is further signal that the industry at large, and not just Microsoft, is facing massive issues. While the internet bemoaned the closure of Tango Gameworks (rightfully so), there have been a number of layoffs and studio sunsets in the last few months.

Just now, I was busy going through the layoffs a few weeks ago at Ubisoft, and only discovered while writing this piece that Ubisoft laid off another 40 employees at their Toronto studio who were working on a Splinter Cell game. Ubisoft CEO Yves Guillemot said the previous layoffs were "built to create the conditions for a return to sustainable growth." It seems this new round of layoffs is another step toward that “major reset.”

I can’t even begin to fathom what it’s like to work in the gaming industry at this moment, where you’re either one poor game release or a delay away from being closed. And that’s coming from someone whose day job is working in the ever-fluctuating tech industry and the growing popular demand for AI.

Layoffs have continued

I feel like I’ve said this before, but every time this happens, I’m reminded that we really are only at the beginning of what I imagine will be another long year of studio closures. If the last couple of years have taught me anything, with studios failing to make absurd 30% profit margins, to others being closed thanks to inept leadership, the craze of AI and other markers is only going to make it worse.

Supposedly, Bluepoint Games had been working on a live-service God of War game over the last five years. On top of that, some influencers say it was on the chopping block because it hadn’t released anything in the last six years.

If that’s the case, whose fault is it exactly that the studio, known for making single-player remasters and remakes, wasn’t fast at making a live-service God of War game?!

Can you truly blame the development team for those mistakes? Or do you blame the leadership team for making that decision? For going all in on your development in the search for obtaining more live service games?

Well, those live-service games need to hit, otherwise they'll be lost in the slop amongst the rubble of games that have come and gone and failed to capture an audience. The majority of that reason is all due to a single game.

Distracted gamers — they're playing Roblox

All these closures aren’t only to blame on leadership decisions. There’s another problem that’s been brewing over the last decade as well, and that’s gamer attention. You see, console and mobile gaming aren’t the top dogs at the moment. Neither is Fortnite, PlayStation, Minecraft, nor Steam.

One game stands above all, and holds the attention of more gamers than Fortnite, PlayStation, and Steam combined. That’s Roblox. Thanks to Matthew Ball's latest report, we know the world of game development, as we know it, is a battle against the juggernaut that is Roblox.

Attention span be damned, the generation of gamers that the likes of Steam, Sony, and Microsoft are looking to pick up and play on their devices or platforms have grown up and continue to play Roblox. Just take a look at the top games in the industry compared to games within Roblox. These numbers are absolutely insane to think about!

In an industry where time is money, publishers are facing an uphill battle when it comes to fighting for time shares. Against the likes of streaming services, TikTok, and social media at large, gamer hours are increasingly being spent on Roblox.

Microsoft has its own form of this mini-game format with Minecraft, but against the likes of Fortnite and Roblox, it has little to no chance. Even Sony is beginning to fall behind games like this.

All of this is happening while the developers still making traditional games are fighting against one another at an all-time high. With indie games coming out left and right that become hits, players are less likely to be waiting for the next Elder Scrolls, Uncharted, or even Call of Duty.

The likes of ARC Raiders proved that AAA development is no longer needed. Games like Black Ops 7 and Battlefield 6 are clinging to the old methods of development while smaller studios and tighter experiences outshine them.

I mention all of this to explain the upheaval we’re seeing in our industry. Most of us exist within our microcosm of gaming and don’t realize the trends or habits of gamers we’re not familiar with.

Heck, I’m willing to bet most people who read this article have little to no interest in Roblox, and probably haven’t even played it. We’re quickly becoming the minority of gamers. I guess I'm going to go download Roblox now.

How do you feel about the current state of the industry?

Are you as bewildered by the closure of Bluepoint Games? Can you believe the total number of hours players are spending on Roblox? Share your thoughts below.

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