Software

Netflix Shuts Down Oxenfree Studio, Shifts Gaming Focus

August 13, 2026Source: The Verge
Netflix Shuts Down Oxenfree Studio, Shifts Gaming Focus
Photo by Thibault Penin / Unsplash
Eda Kaplan

Eda Kaplan

Senior Technology Editor

Netflix is reportedly closing down Night School Studio, the acclaimed developer behind the Oxenfree series, as part of a broader strategic shift. The company is also shutting down Helsinki-based Moonloot Games.

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It appears Netflix is making some significant changes to its gaming division, with reports indicating the closure of two of its acquired studios. Among them is Night School Studio, the creative minds behind the beloved narrative adventure game series, Oxenfree. This move marks a notable pivot for Netflix, which acquired Night School back in 2021 with the hope of leveraging their storytelling expertise.

The news comes as Netflix appears to be re-evaluating its gaming strategy, moving away from a focus on mobile and prestige indie titles. Instead, the company seems to be doubling down on party games and experiences designed for streaming to TVs. This shift was hinted at by their recent foray into TV-based games late last year.

Night School Studio, despite its critical acclaim and the release of titles like Oxenfree and Oxenfree II: Lost Signals, will be among the casualties of this new direction. They were also reportedly working on a mobile game tied to the Black Mirror series, which is now likely to be shelved. The other studio facing closure is Moonloot Games, a Helsinki-based developer that Netflix only acquired in 2022.

While the exact reasons for these closures are not fully detailed, it's clear that Netflix is aiming for a more streamlined and potentially more broadly appealing gaming portfolio. The focus on party games and TV streaming suggests a desire to capture a larger, more casual audience on their core platform. For fans of Night School's unique brand of narrative-driven games, this news is undoubtedly a disappointment, but it signals a significant, and perhaps risky, new chapter for Netflix's ambitious gaming ambitions.

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