Summary
Netflix is closing two more internal game studios. Los Angeles-based Night School and Helsinki-based Moonloot are affected as it shrinks its first-party games operation. Night School, acquired in 2021 and known for Oxenfree, released the short horror title Unhinged on Netflix. It did so only six weeks earlier, a period that Netflix leadership publicly praised. Moonloot was founded in 2022. The company said it is prioritizing kids games, party games, story-driven titles, and projects with mainstream hooks. It also plans to cut jobs on its internal games team without disclosing headcount. These moves leave Netflix with a central team that works with external developers. Helsinki studio Next Games is included and aligns games with Netflix’s external TV and film model. This follows the shutdowns of Team Blue and Boss Fight and the Spry Fox sale.
Key Points
- Night School’s Unhinged launched about six weeks before the closure; co-CEO Greg Peters had cited “really solid numbers” on an investor call
- Netflix declined to say how many jobs are being cut across the internal games team
- Prior cuts: Team Blue closed in 2024; Boss Fight shut in October 2025 after Squid Game praise; Spry Fox sold back to founders in December 2025
- Netflix has shifted emphasis from mobile-native games toward TV/PC streaming with phones as controllers
- Don’t Nod has been reported working on a game tied to a major Netflix franchise among few publicly hinted upcoming projects

