Netflix has made significant organizational changes within its gaming division, announcing the closure of Night School Studio, the developer behind Oxenfree and Afterparty, and Moonloot, a studio that had yet to release a game. The move comes approximately five years after Netflix acquired Night School Studio in 2021, marking its first-ever studio acquisition.
This decision follows closely on the heels of the release of "Unhinged," Night School's latest game and a Netflix exclusive, which launched just six weeks prior to the studio's shutdown.
A spokesperson for Netflix stated that the company is making these "organizational changes to the business to match those priorities" in an effort to "be more focused in our execution." The closures also extend to an unspecified number of job cuts within Netflix's internal games team. "We are incredibly grateful to the talented colleagues we’re saying goodbye to today," the spokesperson added. Notably, one of the roles eliminated from the internal team was the company's sole games accessibility staffer.
Night School Studio has been recognized for its work on titles such as the Oxenfree series and Afterparty. Moonloot was reportedly working on a game with an Animal Crossing-like aesthetic, which will now not be released.
This action is the latest in a series of studio closures by Netflix in its gaming ventures, which began after the company's initial push into the industry. Despite stated opportunities for games to expand the variety of entertainment offered to members, the practical output from Netflix's gaming division has been minimal, leading to increased scrutiny of its long-term commitment to the sector. The company had previously shut down other studios, including one led by veteran developers from the Halo and Call of Duty franchises.