Google reportedly closed its Stadia studios a week after praising them

Google announced on February 1 the surprise of the closure of its Stadia game development studios. But the news was not just a surprise to Stadia customers; it was a flash for the Stadia development team, who a week earlier had learned that the studios were making “great strides,” according to a report by Kotaku.

“[Stadia Games and Entertainment] has made great strides in creating a diverse and talented team and establishing a strong lineup of games exclusive to Stadia, ”Phil Harrison, Google vice president and general manager of Stadia, said Jan. 27 in an email addressed to staff by Kotaku. The email promised more news on Stadia Studios’ strategy and goals for 2021. But instead of new development goals, Harrison announced days later on February 1 that the studios would shut down completely.

The bigger question – both outside observers and members of the Stadia team – is what has changed. Harrison’s blog post announcing the shutdowns, for example, cites an “exponential” increase in the costs of “making top-notch games.” But given Google’s $ 1.4 trillion market capitalization, it’s hard to imagine that this was the sole reason for the complete shutdown of the company’s game development studios, especially when they had so little time to prove themselves.

In a question-and-answer session with staff on Feb.4, Harrison reportedly admitted that Google executives already knew the shutdown was coming when he sent the email praising the team’s progress. Kotaku Also reports that Harrison has repeatedly cited Microsoft’s acquisition of Bethesda and the ongoing challenges of the COVID-19 pandemic as factors in the shutdown.

Either way, one thing is clear: By shutting down its studios before it even managed to deliver major first-party exclusives for Stadia, Google has shown not only its staff, but the world as well, that he wasn’t that serious. its gaming initiatives as they once appeared. And ultimately, it’s a disappointing thing to see, both for the future of Stadia and for the industry in general.