PlayStation CEO Hermen Hulst is implementing a new strategy to mitigate costly risks in game development, following the failure of the live-service shooter Concord. Speaking to the Financial Times, Hulst emphasized the importance of early failure.
Hulst stated, “I don’t want teams to always play it safe, but I would like for us, when we fail, to fail early and cheaply.” In response to Concord‘s unsuccessful launch, PlayStation has increased oversight of its owned studios. Hulst explained that the company has “since put in place much more rigorous and more frequent testing in very many different ways… The advantage of every failure…is that people now understand how necessary that [oversight] is.”
Concord reportedly cost Sony around $250 million and was shut down just two weeks after its release, leading to the closure of developer Firewalk Studio. Hulst contrasted Concord‘s performance with the success of Astro Bot, which sold 1.5 million copies in its first month and 2.3 million by March.
Following Concord‘s failure and mirroring comments from Sony’s CFO Lin Tao, who admitted that the company’s live-service strategy is “not entirely going smoothly”, Hulst indicated a shift away from a heavy focus on live-service games. Bungie’s Marathon reboot has been indefinitely delayed, further signaling a change in strategy.
Hulst’s focus is now on developing Sony’s intellectual property into enduring franchises, similar to the growth of Astro Bot. He stated, “We take a very intentional approach to IP creation…understanding how a new concept can turn into an iconic franchise for PlayStation, that can then again become a franchise for people beyond gaming.” Hulst aims to establish iconic PlayStation franchises that can extend beyond the gaming sphere.
