Netflix’s push into games appears to be taking yet another hit, with the company closing its AAA game studio Team Blue.

Netflix has been pushing into games for the last couple of years, snapping up a number of gaming studios that aligned with its goals. The company planned on releasing a AAA gaming title for PC, as evidenced by a job posting in late 2022.

We’re looking for a creative and highly-skilled Game Director to help us forge the game direction and creative vision on a brand-new AAA PC game. As Game Director, you will be the creative leader of one of Netflix’s first generation of internally developed original games.

Despite its ambitious goals, Game File is reporting that Netflix has shut down Team Blue, a drastic move considering the studio has yet to release a single AAA title.

This is not the first setback Netflix has experienced. In mid 2022, some 99% of Netflix customers had never played any of its games. With 221 million subscribers at the time, that meant that only 1.7 million had tried the company’s games, and they had only been downloaded 23.3 million times.

Netflix repeatedly reaffirmed its commitment to gaming, but the closure of Team Blue raises new questions about the future of games within Netflix.