Netflix shuts down two game studios shortly after new game releases.

It has been reported that several game studios under the umbrella of the video streaming service Netflix are closing down. Among them are Night School Studio , known for developing the graphic adventure game ' Oxenfree, ' and Moonloot Games , a game studio based in Helsinki, Finland.

BREAKING: Netflix to shut down two more game studios
https://www.gamefile.news/p/netflix-closes-night-school-moonloot

Netflix Closes Two Gaming Studios, Including – Aug 13, 2026
https://gameinformer.com/2026/08/13/netflix-closes-two-gaming-studios-including-oxenfree-developer-night-school

Netflix is closing two game studios | The Verge
https://www.theverge.com/games/979855/netflix-shut-down-night-school-studio-moonloot-games

Netflix closes more game studios as it pulls back on video games
https://www.polygon.com/netflix-shutting-down-game-studios/

Netflix Shuts Down Oxenfree Developer Night School
https://www.ign.com/articles/night-school-staff-speak-out-after-netflix-shuts-down-developer-following-top-tier-launch-of-unhinged

Netflix is a video streaming service, but it has also started developing games, and it has been reported that it will have more than 80 games in development by 2024.

However, Netflix's gaming business has been far from smooth sailing, and the company has closed down several of its subsidiary game studios.

Netflix closes development studio for Splatoon game, despite achieving #1 ranking in 107 countries and receiving praise from within the company as the ideal game app Netflix should aim for - GIGAZINE

It has now been reported that Netflix has decided to close Night School Studio, a game studio it acquired in 2021, and Moonloot Games, a game studio founded in 2022. Night School Studio had just released the first-person horror game 'Unhinged' for Netflix users. Netflix CEO Greg Peters had praised Unhinged in an investor conference call, calling it 'very strong.'

Unhinged | Official Game Trailer | Netflix - YouTube


Before being acquired by Netflix, Night School Studio developed the award-winning game Oxenfree. After being acquired by Netflix, Night School Studio has developed a sequel to Oxenfree and mobile games related to the Netflix original series ' Black Mirror .'

Netflix told gaming media outlet Game File that the reason for closing two game studios is 'to prioritize the development of games for children, party games, story-driven titles, and mainstream games like FIFA World Cup Launch Edition .'

A Netflix spokesperson told Game File, 'We see this as an opportunity to allow for greater focus in getting the job done, and we are making organizational changes to align with our priorities. We are incredibly grateful to the talented colleagues we are saying goodbye to today. We appreciate their contributions to Netflix and wish them all the best in their future endeavors.'