XBOX to Publish Hideo Kojima’s PHYSINT Game After PlayStation Ends Collaboration

KOJIMA PRODUCTIONS has confirmed that XBOX will publish PHYSINT, expanding the studio’s existing partnership with Microsoft beyond OD. The move comes after PlayStation Studios ended its involvement with the action-espionage project earlier this year.

Hideo Kojima said that KOJIMA PRODUCTIONS was unexpectedly informed by PlayStation Studios in mid-June 2026 that it would cancel the PHYSINT project, their “genre-defining action-espionage title.” He added that the studio then spent three months searching for another partner before reaching an agreement with XBOX .

Kojima wrote:

“As confirmed earlier through our official channels, in mid-June of this year, we unexpectedly received notice from PlayStation Studios that they would cancel the PHYSINT project. PHYSINT is an important project both to me personally and to KOJIMA PRODUCTIONS. Determined to keep the project alive, we have spent the last three months searching tirelessly for a new partner. In the course of seeking advice and pursuing negotiations with people across many fields, we found in XBOX a partner with whom we share a common vision for the future, and we have decided to team up with them once again. Please rest assured that development of PHYSINT, our genre-defining action-espionage title, is ongoing and will continue moving forward.”

KOJIMA PRODUCTIONS separately confirmed that development is continuing with XBOX and CEO Asha Sharma, describing the agreement as an expansion of the companies’ existing relationship.

Kojima said in Xbox’s announcement:

“This expands our relationship with XBOX beyond OD. As we move forward with the development of PHYSINT, we remain committed to redefining the action-espionage genre for players around the world.”

Sharma also commented:

“Creators have choices about where and how they bring their ideas to life. We’re honored that Kojima-san has chosen XBOX to work with KOJIMA PRODUCTIONS on PHYSINT. His ambition to challenge conventions reflects the kind of creativity we want to support at XBOX.”

PlayStation Studios issued its own statement, saying it had made the decision to step away from collaborating with Kojima Productions on PHYSINT while emphasizing that its broader relationship with Kojima remains intact:

“After careful consideration, we have made the difficult decision to step away from collaborating with KOJIMA PRODUCTIONS on its project PHYSINT. We continue to have great admiration for Hideo Kojima’s vision for the game. Our relationship remains strong after three decades of industry-leading, genre-defining creative cooperation, and we look forward to continued close collaboration with Hideo Kojima and his award-winning independent studio in the future.”

The wording differs between the two statements. PlayStation, which recently announced the end of physical disc production, describes the move as a decision to “step away,” while Kojima says his studio unexpectedly received notice that PlayStation would cancel the project. Neither statement provides further detail about why the partnership ended.

XBOX and KOJIMA PRODUCTIONS also confirmed that their expanded relationship will extend beyond games. In addition to OD and PHYSINT, the companies plan to collaborate in film and television on future stories.

Source: Hideo Kojima, Kojima Productions, XBOX, PlayStation