Home > News > Godfall Developer Shuts Down: Report

Godfall Developer Shuts Down: Report

Author:Kristen Update:May 13,2025

Godfall Developer Shuts Down: Report

Summary

  • Counterplay Games, the developer of Godfall, may have shut down.
  • An employee from another studio indicated on LinkedIn that Counterplay Games has 'disbanded.'
  • Godfall struggled with repetitive gameplay and a lackluster story, failing to retain a significant player base.

Counterplay Games, the studio behind the PS5 launch title Godfall, may have quietly ceased operations. This news comes from a LinkedIn post by an employee of Jackalyptic Games, shared by PlayStation Lifestyle, suggesting that Counterplay has 'disbanded.' The studio has been silent since Godfall's release in 2020, with no new game announcements following the title's launch.

Godfall, despite being the first game announced for the PlayStation 5, failed to capture gamers' attention. Even after a significant update in 2021, the game was criticized for its repetitive gameplay and uninspiring story. These issues led to poor sales and difficulty in maintaining a player base. While the game's reception wasn't entirely negative, its overall performance may have been too much for the studio to overcome.

The LinkedIn post also mentioned that Jackalyptic Games was working with Counterplay on a new title, but the project didn't reach 2025, leading to Counterplay's disbandment. This event seems to have occurred around the end of 2024, as Counterplay has not released any new information since bringing Godfall to Xbox in April 2022. The studio's silence on the matter suggests a possible silent disbandment.

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

If confirmed, Counterplay Games would join a growing list of studios facing closure in the gaming industry. Sony's decision to shut down Firewalk Studios shortly after the release of Concord in September 2024, and the closure of mobile developer Neon Koi in October of the same year, highlight the challenges studios face. Unlike those studios, Counterplay's potential end would not be due to a parent company's decision but would still underscore the difficulties of surviving in today's market.

The high cost of game development and the intense pressure from both players and shareholders make it challenging for studios, especially smaller indie ones, to succeed. Even anticipated titles like those from Frostpunk developer 11 Bit Studios are not immune, as evidenced by their layoffs in late 2024 due to profitability concerns. While the exact reasons for Counterplay's reported closure remain unclear, similar industry-wide challenges likely played a role. Without an official statement from the studio, fans are left waiting for more information, but the outlook for Godfall enthusiasts and those anticipating future Counterplay releases appears dim.