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Sony’s loss is Microsoft’s gain as Xbox snaps up Hideo Kojima’s action game

Published 18:42 10 Sept 2026 BST

Updated 18:42 10 Sept 2026 BST

Vese Hyseni
Sony’s loss is Microsoft’s gain as Xbox snaps up Hideo Kojima’s action game

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Hideo Kojima’s biggest partnership has taken an unexpected turn

Hideo Kojima’s next major project has taken a dramatic turn, with PHYSINT now moving forward with Xbox after PlayStation ended its involvement with the game.

The decision is particularly surprising given the history between Kojima and Sony. Their partnership dates back to Metal Gear Solid arriving on the original PlayStation in 1998, while Sony became KOJIMA PRODUCTIONS’ first partner after the studio became independent. 

It later published Death Stranding and Death Stranding 2: On the Beach as timed PlayStation exclusives, with PHYSINT announced as their next collaboration in 2024.

PlayStation confirmed that it had “made the difficult decision” to step away from the project, while insisting it still had “great admiration” for Kojima’s vision and that its relationship with him “remains strong”.

Xbox steps in to keep Kojima’s PHYSINT alive

Kojima, however, revealed a very different side of the story. He said his studio was unexpectedly informed in June that PlayStation would cancel PHYSINT. 

With the project considered hugely important to KOJIMA PRODUCTIONS, the team spent three months searching for another company to keep it alive. They eventually found that partner in Xbox.

Kojima confirmed that the game is continuing under Microsoft, saying the two sides share a “common vision for the future”. He also reassured fans that development of the action-espionage title is ongoing.

Xbox and Kojima are looking beyond the gaming industry

The move comes as Kojima and Xbox are already building a relationship. His mysterious horror game OD is also tied to the platform, while Variety reports that Kojima and new Xbox CEO Asha Sharma have been discussing potential collaborations since she took over in February. 

Their conversations have reportedly covered film and television alongside gaming.

Xbox has also said its partnership with KOJIMA PRODUCTIONS will extend “across film and television to bring new stories to broader audiences”.

Sharma said Kojima had chosen Xbox because his desire to “challenge conventions” matched the type of creativity Microsoft wants to support.

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