Netflix has shuttered its Boss Fight Entertainment, the game studio best known for developing the mobile “Squid Game:  Unleashed” multiplayer action game based on the streamer’s hit series franchise. The title went to number one on the charts in 26 countries, according to Boss Fight co-founder and CEO David Rippy, who posted a farewell on LinkedIn. The unit also developed “Netflix Stories,” described as “an interactive visual novel platform” based on Netflix shows “Virgin River,” “Emily in Paris” and “Selling Sunset.” Netflix reportedly plans to continue offering the Boss Fight titles even as it de-emphasizes mobile games.

“The studio closure comes as Netflix continues to adjust its gaming strategy under President Alain Tascan, who joined the company in July 2024,” reports Variety.

The Netflix games division, which launched in late 2021, “is now focused on party games (a slew of which will be released this holiday season), narrative games, kids games and mainstream games as well as games played directly on TVs” with smartphone controllers, Variety adds.

The redirect began when Netflix “closed its AAA video game studio, known as Team Blue, last October before the developer had released a project,” writes Variety.

However, the closure of Boss Fight three years after Netflix acquired it was described as more of a surprise, given the success of “Squid Game: Unleashed” and the obvious advantages of developing content around proprietary IP. MovieWeb said “Unleashed” spawned 10 million downloads, making it the streamer’s “fifth most-downloaded game ever.”

“Word has gotten around quickly,” Rippy wrote on LinkedIn about the closure. “Rough news, for sure, but I’m very grateful for the time we had at Netflix,” he added, lavishing kind words about his team, and urging they be considered for open roles. MovieWeb reports the move will result in layoffs but did not say how many.

“The shutdown follows persistent layoffs across the industry, including cut jobs at ‘Dune: Awakening’ developer Funcom, despite that game’s success, and layoffs at Cloud Chamber, the studio making the next title in the ‘BioShock’ franchise,” The Verge reports.

Boss Fight was founded in 2013 and “is headquartered in Allen, Texas, with production studios also in Austin and Seattle,” writes The Wrap, listing additional game credits  “Dungeon Boss,” “Dungeon Boss: Respawned” and “Money Heist: Ultimate Choice.”