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Godfall Developer Shuts Down: Reports

Authore: MatthewUpdate:May 21,2025

Godfall Developer Shuts Down: Reports

Summary

  • Counterplay Games, the developer of Godfall, may have shut down.
  • An employee from Jackalyptic Games indicated on LinkedIn that Counterplay has 'disbanded.'
  • Godfall faced challenges with repetitive gameplay and a lackluster story, leading to poor sales and a small player base.

Counterplay Games, the studio behind the PS5 launch title Godfall, appears to have quietly disbanded. This news surfaced through a LinkedIn post by an employee of Jackalyptic Games, who mentioned that a collaborative project with Counterplay didn't reach 2025, and subsequently, Counterplay "disbanded." The studio has been silent since Godfall's release in 2020, with no new game announcements following its launch on Xbox in April 2022. While Counterplay has yet to make an official statement, the timing of the disbandment seems to be around the end of 2024.

Godfall, despite being one of the first titles announced for the PlayStation 5, struggled to capture gamers' attention. Even after a significant update in 2021, the game was criticized for its repetitive gameplay and underwhelming story. These issues led to poor sales and difficulty in maintaining a substantial player base. Although the game's reception wasn't entirely negative, its overall performance might have contributed to the studio's challenges.

The potential shutdown of Counterplay Games reflects a broader trend of studio closures within the gaming industry. In recent times, Sony shut down Firewalk Studios after the underwhelming release of Concord in September 2024 and closed mobile developer Neon Koi in October of the same year to focus on more successful projects. Unlike these cases, Counterplay's closure would not be due to decisions by a parent company but rather the harsh realities of the current gaming market.

Developing games has become increasingly costly, with heightened expectations from both players and shareholders. Smaller indie studios like Counterplay face significant challenges in making an impact in a saturated market. The struggles of even well-regarded studios like 11 Bit Studios, which announced layoffs in late 2024 due to profitability issues, highlight these difficulties. While the exact reasons for Counterplay's reported end remain unclear, similar pressures may have played a role. As of now, without an official statement from Counterplay, fans and prospective players await further details. The future looks uncertain for those hoping for more from the studio behind Godfall.