Kojima Productions Rejects Reports of Financial Turmoil After Losing Sony Deal
The studio says it remains profitable despite losing Sony's backing for 'Physint' and shifting the project to Xbox.
Kojima Productions has released a public statement disputing claims that the studio is facing financial distress after losing its funding agreement with Sony for the upcoming title Physint, as reported by The Verge (https://www.theverge.com/games/997880/hideo-kojima-productions-physint-xbox-sony-playstation).
The statement follows the announcement that Sony dropped Physint and that creator Hideo Kojima's project would instead release on Xbox. According to a report by Bloomberg, Sony's decision stemmed from several factors, including missed deadlines, budget and profitability concerns, and disputes over timed exclusivity.
Speculation regarding the studio's condition grew following an interview with IGN, in which Kojima acknowledged his initial anxiety over the cancellation in the context of broader industry layoffs and studio closures. Kojima noted that he had assumed Physint was safe and feared the loss of the contract could force layoffs or deplete the studio's cash flow.
Industry reports also pointed to disappointing sales figures for Death Stranding and its sequel alongside the lost Sony contract.
In response, Kojima Productions stated on social media that the studio remains in a "healthy, profitable state" despite the reports and lost funding, adding that its "relationship with PlayStation remains strong."
Sources
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