Netflix Officially Closes AAA Game Studio Comprised of Former Overwatch and Halo Developers

Netflix has reportedly closed one of its gaming divisions, which was spearheaded by former developers from major franchises like Blizzard, Halo, and Sony, just two years after its inception. This decision comes despite the company’s ambitions to launch high-budget titles that could rival the giants of the gaming sector.

In late 2022, the streaming giant brought on Chacko Sonny, a key figure from Overwatch, to lead the effort in establishing the new studio located in Southern California.

He was soon joined by Joseph Staten, the creative head behind Halo, who had an extensive background with Bungie and 343 Industries. Additionally, Rafael Grassetti, the former art director from Sony Santa Monica, known for his work on God of War, also lent his creative expertise to the Netflix venture.

Staten had previously expressed his enthusiasm about his new role, stating that he was joining Netflix Games as the Creative Director for a new original AAA multiplatform game, highlighting the streaming service’s aspirations to make a significant impact in the gaming landscape.

So today, I’m thrilled to announce that I’ve joined @Netflix Games as Creative Director for a brand-new AAA multiplatform game and original IP. Let’s go! 2/2

— Joseph Staten (@joestaten) April 17, 2023

However, on October 22, Game File reported that the studio, known as ‘Team Blue,’ has officially been disbanded, with a spokesperson from the company confirming that none of the original developers remain associated with Netflix.

Despite this setback, Netflix continues to expand its gaming portfolio, especially in the mobile sector. The platform holds exclusive rights to Football Manager 24 Mobile, a sports simulation title by Sports Interactive that allows players to assume the role of head coach for their favorite soccer teams.

Additionally, Netflix features mobile adaptations of classic games like Grand Theft Auto, Sonic Mania Plus, and various titles linked to Stranger Things, among others.

It remains uncertain whether the closure of this studio will have a long-term impact on Netflix’s gaming ambitions. Currently, there is no information available regarding the original IP that was in development.

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