Netflix shuts down game studio behind 'Squid Game: Unleashed'

Oct 24 (Reuters) - Netflix NFLX.O has shut down the studio behind its mobile game "Squid Game: Unleashed", amid a shift in strategy for its video gaming unit.

The studio's closure was confirmed by its co-founder and former CEO, David Rippy, in a LinkedIn post on Thursday.

"Rough news, for sure, but I'm very grateful for the time we had at Netflix," Rippy said.

The streaming giant, which has ventured into advertising and video games to diversify its revenue streams, acquired Boss Fight Entertainment in 2022 to broaden its offering.

"After 10+ great years working at Boss Fight, the last few as part of Netflix, the time has come for the studio to close down," David Luehmann, a director of game development at the studio, said in another LinkedIn post.

Netflix did not immediately respond to a Reuters request for comment.

Boss Fight's two games, "Netflix Stories" and "Squid Game: Unleashed", will continue to be available on the streaming platform.

Netflix, which named Alain Tascan as president of games last year, has a new strategy that will focus on party, narrative, kids and mainstream games.

Netflix Co-CEO Greg Peters touted "Squid Game: Unleashed" during its earnings call earlier this week as an example of the types of narrative games it would like to make based on its own shows.