Netflix Closes Its AAA Game Studio in Southern California

Netflix shut down one of its gaming studios less than two years after its opening.

As first spotted by Game File, Netflix recently closed its AAA gaming studio known as Team Blue, located in Southern California. It was opened as part of the streaming giant's expansion into the video game world. The studio promised to introduce innovative projects that were different from previously released Netflix gaming titles and aimed for a high-budget strategy for multiple devices.

Team Blue was opened in 2023. Netflix invited many industry professionals from video game companies such as Blizzard, Bungie, and Sony Santa Monica to work on its projects. Thus, at the end of 2022, Netflix hired Blizzard's Chacko Sonny, the Overwatch Executive Producer, to create the studio. Later, in 2023, Joseph Staten, a Creative Lead of the Halo games at Bungie and 343 Industries, joined the studio. He called it "a brand-new AAA multiplatform game and original IP," which indicated Netflix's determination to grow in the gaming sphere. Rafael Grassetti, former God of War's Art Director at Sony Santa Monica, also joined the team shortly after.

First, Netflix entered the video games sphere in November 2021 by launching Netflix Games, which allowed subscribers to play five iOS and Android titles through a Netflix subscription. From then on, the company has expanded its games list to over 70 items and currently owns six video game studios, including Spry Fox, Next Games, and Night School Studio. The games that Netflix has worked on include renowned titles such as Triple Town, Cozy Grove, The Walking Dead mobile games, and Oxenfree under the Netflix umbrella. However, it was reported that less than 1% of Netflix's subscribers played base games daily.

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