Netflix confirmed the closure of Night School Studio and Moonloot Games, citing a need to focus resources on a narrower set of priorities. Night School, acquired in 2021 and responsible for the Oxenfree series plus the June 30 release of Unhinged, joins Moonloot—founded internally in 2022 with no titles shipped—in the latest round of cuts that also trims additional games roles. A company representative described the move as aligning the business with opportunities in execution, while expressing gratitude to departing staff.

This follows Netflix’s documented push into cloud-based TV party games such as Boggle Party, LEGO Party, and Pictionary editions, alongside kids and narrative titles, which executives have called a big priority with early positive uptake. Night School’s output, including narrative-driven horror recently highlighted by the company as among its more successful cloud debuts, does not appear to match the new emphasis on accessible, living-room multiplayer experiences playable with phones as controllers.

Next Games remains Netflix’s sole remaining internal studio. The pattern of studio builds and subsequent closures continues without accompanying public metrics on engagement or retention for the shuttered teams’ projects.