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Godfall Developer Shuts Down: Report

by Harper Apr 20,2025

Godfall Developer Shuts Down: Report

Summary

  • Counterplay Games, the developer of Godfall, may have shut down.
  • An employee from another studio's LinkedIn post suggests that Counterplay Games has 'disbanded.'
  • Godfall faced challenges in retaining a player base due to repetitive gameplay and a lackluster story.

Counterplay Games, the studio behind the PlayStation 5 launch title Godfall, appears to have quietly shut down. The news emerged from a LinkedIn post by an employee of Jackalyptic Games, which was collaborating with Counterplay on a new project that did not proceed into 2025. The post indicated that Counterplay Games had "disbanded." The studio has not made any official statements, but the lack of activity since the release of Godfall and its subsequent Xbox port in April 2022 suggests that this disbandment might have occurred around the end of 2024.

Godfall, despite being the first game announced for the PS5, failed to capture a significant audience. Even after a major update in 2021, the game was criticized for its repetitive gameplay and underwhelming story. These factors contributed to poor sales and a dwindling player base. While the game's reception was mixed, its overall performance may have been too challenging for Counterplay Games to overcome.

Counterplay Games May Be the Latest in a String of Studio Shutdowns

If confirmed, Counterplay Games' closure would add to the recent trend of studio shutdowns in the gaming industry. Notable examples include Sony's closure of Firewalk Studios shortly after the release of Concord in September 2024, and the shuttering of Neon Koi in October of the same year to focus on more successful projects. Unlike these studios, Counterplay Games did not have a larger parent company to blame for its potential demise, highlighting the difficulties smaller indie studios face in the current market.

The gaming industry has seen rising development costs and heightened expectations from both players and shareholders. This environment demands that games make a significant impact in a crowded market, a challenge that can be particularly daunting for indie developers without the backing of larger corporations. Even established studios like 11 Bit Studios, the developers of Frostpunk, faced layoffs in late 2024 due to profitability issues. While the exact reasons behind Counterplay's reported disbandment remain unclear, similar industry pressures may have played a role. Fans are encouraged to await further official statements, but for now, the outlook appears bleak for those hoping for future projects from Counterplay Games or new developments for Godfall.