Hideo Kojima has revealed that PlayStation broke the news that it would stop funding PHYSINT during a Zoom call. The decision caught the developer off guard, but his return to action espionage is still moving forward with Xbox.
In brief:
- PlayStation communicated its decision to drop PHYSINT over Zoom.
- Kojima described being shocked by the news.
- Kojima Productions has challenged speculation about the split.
- PHYSINT remains in development with Xbox as its publishing partner.
PlayStation Ended PHYSINT Funding Over Zoom
The call took place in mid-June, according to The Washington Post’s interview with Kojima.
Kojima’s immediate reaction was uncertainty about what would happen next. He explained that he initially couldn’t tell staff about the situation.
For an independent developer, losing a publishing partner puts far more than one game’s release plans in question. Kojima Productions acknowledged that the change created a serious situation with potentially significant consequences.
Kojima Productions Responds to PHYSINT Budget Reports
GameRiv previously covered a Bloomberg report claiming Sony had concerns about missed deadlines, rising costs, profitability, and the game’s long-term exclusivity. That report also claimed the Death Stranding games had fallen short of PlayStation’s revenue expectations.
Those explanations remain reported claims. Sony’s public statement did not confirm the alleged financial or development problems.
Kojima Productions has since pushed back. In its statement, the studio urged skepticism toward claims based on unnamed sources. It also said the company remains profitable and healthy, and that its relationship with PlayStation is strong.
PHYSINT Development Continues With Xbox
Despite Sony’s withdrawal, PHYSINT has a new publishing partner. Xbox stepped in to support the project, extending its existing relationship with Kojima Productions, which also includes the horror game OD.
PlayStation ended its involvement, but development continues. Calling PHYSINT canceled outright would leave out the most important part of its current status.
