Shuhei Yoshida, former president of Sony Interactive Entertainment, discussed the closure of PlayStation's Japan Studio during a podcast, attributing it significantly to the fading 'double-A' game market. Despite Japan Studio's history of quality titles, it struggled to keep up with the industry's pivot towards AAA games, illustrated by the inability to greenlight projects like Gravity Rush 2. This situation led to Sony shutting down the studio in April 2021. However, remnants of the studio's legacy continue through Team Asobi, known for its award-winning game Astro Bot, and the establishment of new studios producing fresh content.
Shuhei Yoshida stated that the disappearance of the 'double-A' game market contributed majorly to the downfall of PlayStation's Japan Studio.
He noted that while Japan Studio produced great products, it struggled to create AAA-level successes, which became increasingly important in the gaming industry.
Yoshida mentioned Gravity Rush 2 as an example of a project that couldn’t move forward, highlighting the difficulties faced by smaller game studios.
The closure of Japan Studio allowed former director Keiichiro Toyama to establish his own studio, leading to the creation of the anticipated Slitterhead.
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