Netflix is closing Night School Studio, the developer behind the psychological thriller Unhinged. The studio, known for its work on Oxenfree and Oxenfree 2: Lost Signals, was shuttered following a strategic decision by the streamer to streamline its internal gaming efforts.
Quick Facts: Unhinged and Studio Status
- Game Release Date: June 30, 2026
- Current Status: Unhinged remains available to Netflix members as part of the platform's cloud gaming library.
- Studio Status: Night School Studio and the Helsinki-based Moonloot studio are both closing.
The closure of Night School Studio comes only six weeks after the release of Unhinged. Despite the layoffs, the title performed well for the company; during a July 2026 investor call, Netflix co-CEO Greg Peters described the game as one of the platform’s “most successful cloud game debuts,” noting that it yielded “really solid numbers” that placed it in the top tier of the company’s gaming performance.
A former staff member confirmed the closure on LinkedIn, noting that the team had shipped the project to millions of players before the layoff. Netflix stated that the decision to close the studios is part of a broader plan to “calibrate and refine” its investment in the gaming space, which the company maintains is still an opportunity to expand its entertainment offerings.
In addition to Night School, Netflix is closing its Helsinki-based studio, Moonloot. That team had not yet released a game, though it was in the process of developing an unannounced life-sim project.