Netflix’s gaming division, initially renowned for its indie and mobile titles, recently ventured into the AAA gaming space by recruiting executives from renowned franchises such as Halo, Overwatch, and God of War. However, this strategy appears to be concluding as Netflix has confirmed the shutdown of its AAA studio, Team Blue, to Game File.
In 2022, Netflix appointed Chacko Sonny, former head of Overwatch, to lead a new Southern California-based AAA studio. The following year, Joseph Staten, a former executive from the Halo franchise, joined as Creative Director, along with Rafael Grassetti, the art director from God of War. Staten had announced that they were working on a multi-platform AAA game featuring an entirely new intellectual property.
Netflix entered the gaming arena in 2017 with a retro-inspired mobile game based on Stranger Things. In subsequent years, the company’s strategy primarily focused on acquiring mobile publishing rights for well-regarded indie games like Into the Breach and Terra Nil. Additionally, Netflix developed several mobile games in-house. By 2023, the company had nearly 90 titles in development, both in-house and through partnerships with other studios.
Although Netflix’s initial gaming ventures included a small selection of hyper-casual mobile games, its portfolio has since expanded to feature mobile-exclusive ports of iconic games like Grand Theft Auto and Hades, as well as internally developed exclusives like Cozy Grove: Camp Spirit and Oxenfree II: Lost Signals.
To support its gaming pipeline, Netflix has acquired or established several studios. Recent additions included a mobile game studio in Helsinki, a new studio in Southern California, and Cozy Grove developer Spry Fox. However, with the closure of Team Blue, Netflix’s trend of expansion and its ambitious AAA gaming plans may have come to an end.
