Netflix to close Finnish game studio Moonloot

Streaming giant Netflix is planning to shut down its game studio Moonloot, located in Helsinki, Finland, according to the U.S. gaming publication Game File. The company also intends to close its Night School studio in Los Angeles, which it acquired in 2021. Moonloot was established in Helsinki in 2022.

This decision comes just six weeks after Night School released the horror game "Unhinged," which is playable on Netflix using a smartphone as a controller. Netflix's stated reason for these closures is a strategic shift to concentrate its gaming efforts on specific genres. The company aims to focus on games for children, party games, narrative-driven experiences, and titles with broad mainstream appeal, such as the recently released FIFA game.

Netflix ventured into video game publishing in 2021. Despite the closure of Moonloot, Netflix will maintain some game development operations in Finland. The company acquired Helsinki-based Next Games in 2022, and this studio has been involved in developing multiplayer party games for the streaming service.

Game File, the source of the report, is an independent online publication dedicated to video games, founded by journalist Stephen Totilo in 2023. The closures signal a potential recalibration of Netflix's ambitious gaming strategy, which began with significant acquisitions and studio launches.