Horizon Hunters Gathering has reportedly undergone a significant reboot, shifting away from its intended live service model to a more traditional cooperative multiplayer experience. Sources familiar with the project's development indicate that Guerilla Games began this overhaul in June, responding to unfavorable reactions during early private playtests. The live service mechanics are reportedly being removed in favor of a story mode and a reduced scope.

While the game has not been officially canceled, Bloomberg reports that Guerilla Games faces a December deadline to demonstrate progress to PlayStation executives. Concurrently, a portion of the development team for Horizon Hunters Gathering is being reassigned to another project within the studio, which is also subject to executive evaluation at year's end. This development represents another challenge for Sony's ongoing efforts to establish successful live service titles, a strategy that has encountered numerous setbacks. Past live service endeavors from PlayStation include the closure of Concord shortly after its launch, the cancellation of Bluepoint Games' studio following a proposed God of War live service game, the discontinuation of Naughty Dog's The Last of Us multiplayer component when it was reportedly 80 percent complete, and the cancellation of a Twisted Metal battle royale game. Furthermore, Marathon has seen ongoing underperformance, and Fairgames, which lost its director last year, remains conspicuously silent. These instances highlight a difficult period for Sony as it seeks a major live service hit.