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Netflix, the streaming giant that brought Squid Games, is now playing a different kind of game—one where artificial intelligence holds the controller. The company recently pulled the plug on its ambitious internal AAA game studio, codenamed “Blue,” letting go of 35 employees who had been crafting major gaming titles.

 

The studio, formed in 2022 under former Overwatch executive producer Chacko Sonny, had attracted talent from heavyweight franchises like Halo and God of War before its premature end.

 

 

Mike Verdu, who previously served as Netflix’s vice president of games, has been promoted to lead the generative AI-focused initiative for game development. Verdu believes that AI has the potential to speed up game development and bring fresh creative possibilities into play, comparing this moment to the rapid advancements in gaming during the 1990s.

 

However, Verdu was quick to point out that human creativity would remain the driving force behind their projects, with AI serving more as a tool to enhance and accelerate the creative process.

 

The company maintains a strong presence in the gaming world through its other studios—Night School, Next Games, Spry Fox, and Boss Fight Entertainment. These teams continue to focus primarily on mobile gaming while exploring the potential of AI-assisted development methods.

 

Verdu says he believes in a “creator-first” philosophy, positioning AI as a complement to human creativity rather than a replacement. The technology, he suggests, will serve as a catalyst to speed up development processes.




 



 

Image: Natanael Alfredo Nemanita Ginting | Dreamstime.com

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