Overview

• Shuhei Yoshida, former PlayStation executive, stated that the disappearance of the double-A game market was a major factor in Sony Japan Studio's closure.
• The studio struggled to produce AAA-level hits, with Gran Turismo being the exception, while most of its games fell into the double-A category.
• Market conditions made it increasingly difficult to greenlight innovative but smaller-scale projects, such as those pitched by Gravity Rush 2 director Keiichiro Toyama.
• Sony reorganized Japan Studio in 2021, retaining Team Asobi, which later created the critically acclaimed Astro Bot.
• The closure allowed former Japan Studio talent, including Toyama, to pursue independent projects, such as the 2024 release Slitterhead.