Abstract:
Hideo Kojima recently revealed that SIE suddenly informed him in June this year that it would no longer be able to fund the new action espionage game "Physint". The project was later transferred to Xbox for distribution. Kojima Studio emphasized that the company is currently operating steadily and profitably, and game development is still progressing.
"Physint" was announced at the State of Play in January 2024, with the goal of breaking the boundaries between movies and video games. PlayStation announced on September 10 that it would cease project cooperation, and Xbox later announced that it would take over distribution. Hideo Kojima later confirmed during the Xbox Tokyo Game Show 2026 live broadcast that the protagonist will be played by Swedish actor Bill Skarsgård.
Kojima said in the interview that when he was invited to participate in the SIE video conference, he received a notice to stop funding without warning, and his mind went blank at the time. He explained that independent studios rely on project contracts to stay afloat and must find the next project before the last one ends.
The studio currently has about 200 employees and only has two projects on hand, "OD" and "Physint". It has just expanded the team for the latter and started actor scanning modeling and cooperation with external artists. Kojima said losing the contract could lead to layoffs or even bankruptcy due to banks tightening credit and cash flow difficulties.
In order to continue development, Kojima began to contact various parties to introduce the idea of combining games, movies, television, animation and music. Existing partner Xbox responded positively and agreed to take over after negotiation. Kojima said that in addition to funding, Xbox can also provide technical support, and the other party also values movies, animation and other directions as well as the creation of new IP.
Kojima emphasized that the development of "Physint" has never stopped and is still in the early planning and testing stages. Some members have transferred to the "OD" team, but the overall adjustment has been minor and has not caused much delay. Which game engine to use has not yet been decided. He also said that he had no disputes or conflicts with Sony, but that the two parties had cooperated for 30 years and hoped to be informed of the changes earlier rather than just receiving the final notice.
Regarding the reasons for the termination of the cooperation, Bloomberg previously quoted people familiar with the matter as saying that PlayStation considered factors such as budget overruns, insufficient potential profitability, and the inability to ensure console exclusivity. Kojima Productions later issued a statement on
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