# Kojima Productions denies studio is in trouble

> After Sony dropped Physint and it moved to Xbox, Kojima Productions says it's healthy and profitable despite industry rumors.
- Title: Kojima Productions denies studio is in trouble · The Verge
- Summary: After Sony dropped Physint and it moved to Xbox, Kojima Productions says it's healthy and profitable despite industry rumors. Kojima Productions is…
- Keywords: kojima productions, hideo kojima, physint, sony, xbox, metal gear solid, game development, studio funding, death stranding, playstation, technology, culture
- Source: The Verge — https://theverge.com/games/997880/hideo-kojima-productions-physint-xbox-sony-playstation
- Author: Terrence O'Brien
- Published: 2026-09-20T18:15:10+00:00
- Read time: 1 min
- Topics: kojima productions, hideo kojima, physint, sony, xbox, metal gear solid, game development, studio funding, death stranding, playstation, technology, culture
## Sony drops Kojima's Physint
Sony ended its partnership with Hideo Kojima Productions on Physint. The game will now release on Xbox instead, marking a major shift for the Metal Gear Solid creator.
## Reports blame missed deadlines
Bloomberg reported the split was driven by missed deadlines, budget concerns, profitability issues, and timed exclusivity disagreements between Sony and Kojima Productions.
## Kojima worried about studio collapse
In an IGN interview, Kojima said he feared losing the Sony contract could force layoffs or studio collapse due to cashflow problems amid industry-wide studio closures.

> If we lose one contract, I thought I might have to cut all the people working on Physint, right?
## Studio disputes financial trouble claims
Kojima Productions issued a statement saying it is in a healthy, profitable state, despite reports of disappointing Death Stranding sales and loss of Sony funding.

> the studio is in a healthy, profitable state.
## PlayStation relationship remains strong
The studio emphasized its relationship with PlayStation remains strong, signaling no broader rift with Sony despite the Physint move to Xbox.
## Key takeaway

Kojima Productions is financially stable despite losing Sony's funding for Physint and industry-wide studio closures.