Kojima Productions Says It Remains Profitable as Physint Shifts to Xbox

Kojima Productions is pushing back against speculation about its financial health and its relationship with Sony after deciding to move publishing responsibility for Physint to Xbox. The studio says it remains profitable, development of the action-espionage project is continuing, and its relationship with PlayStation remains strong.

The clarification matters because the change around Physint raised broader questions about Kojima Productions, its funding, and the future of one of Hideo Kojima’s most ambitious projects. Xbox was formally confirmed as the game’s new publishing partner in September 2026, expanding an existing relationship with Kojima Productions that already includes OD.

Kojima Productions Says the Studio Remains Profitable

Kojima Productions addressed reports and online speculation suggesting that the Physint publishing change reflected deeper financial or commercial problems at the independent studio.

The company said it is healthy and profitable. It also rejected the idea that the publishing change should be interpreted as evidence of a damaged relationship with PlayStation, saying that relationship remains strong.

That distinction is important. Kojima Productions is privately held, so detailed financial information is not publicly available in the same way it would be for a listed company. Its profitability statement should therefore be understood as the studio’s own characterisation of its current position rather than an independently audited public earnings disclosure.

The response followed reporting that raised questions around development costs, schedules and the commercial performance of Kojima Productions’ recent projects. The studio said those claims were not based on official or on-the-record sources and encouraged readers to treat speculation about its business relationships with caution.

Physint Is Now Moving Forward With Xbox

What is officially established is that Physint has a new publishing partner. Kojima Productions confirmed its expanded partnership with Xbox on September 10, 2026, saying development of the project would continue with the Microsoft gaming division.

Xbox made the partnership public at the same time, describing the agreement as an expansion of its existing work with Kojima Productions. In its official announcement, Xbox said its relationship with the studio will now extend beyond OD to Physint, while also covering potential collaboration across film and television.

The wording matters because Xbox has been confirmed as the publisher. Still, the announcement did not provide a complete platform list or establish all the game’s eventual release details. Until Kojima Productions or Xbox announces those specifics, describing Physint as an Xbox-published project is more accurate than assuming its final platform strategy.

Physint Originally Began as a PlayStation Partnership

The change is notable because Sony originally introduced Physint. Kojima appeared during PlayStation’s January 2024 State of Play to announce a new action-espionage project being developed with the support of Sony Interactive Entertainment.

At the time, Kojima described the project as a new kind of action-espionage experience that would use advanced technology and a prominent cast while blurring the boundaries between games and film. The original Kojima Productions announcement positioned the project as a major collaboration with PlayStation.

That history helps explain why the publishing switch drew so much attention. Kojima has a long association with PlayStation through the Metal Gear Solid era and, more recently, through the Death Stranding series. Moving a high-profile project that was publicly introduced alongside Sony to Xbox was therefore more significant than a routine publisher change.

It does not, however, necessarily indicate a complete break between the companies. Kojima Productions has explicitly said its PlayStation relationship continues, while Xbox now handles publishing Physint.

The Project Is Advancing Beyond Its Early Concept Stage

Kojima Productions has continued revealing details about Physint since announcing the new partnership. In September 2026, the studio confirmed Bill Skarsgård as the project’s lead actor, alongside previously announced cast members including Charlee Fraser, Don Lee and Minami Hamabe.

The official casting announcement said costume fittings, scanning and camera tests had already taken place. Those details suggest the production is progressing even though substantial information about gameplay, platforms, and release timing remains undisclosed.

Kojima Productions describes Physint as its third original intellectual property and as an action-espionage game intended to draw on Kojima’s decades of experience in the genre. That description naturally invites comparisons to his work on Metal Gear. Still, the studio has not yet shown enough gameplay to show how closely the new project will resemble those games.

Xbox Is Deepening Its Relationship With Kojima Productions

For Xbox, publishing Physint represents a substantial expansion of a partnership that began with OD. Microsoft is now working with Kojima Productions on two separate projects rather than a single experimental release.

The arrangement also fits a broader model in which major platform companies work with independent studios without necessarily acquiring them. Kojima Productions remains independent, while its individual projects can involve different publishers and commercial partners.

That structure gives the studio more flexibility, but it also means that changes involving a major project can create uncertainty because each publishing agreement may carry substantial financial and staffing implications. Kojima himself has acknowledged how serious the situation surrounding Physint could have become if the project had lost its publishing support altogether.

What the Physint Change Actually Means

The most important development is not that Kojima Productions is abandoning PlayStation. The confirmed change is narrower: Xbox has taken over as publishing partner for Physint, and development is continuing under that arrangement.

At the same time, Kojima Productions is directly challenging claims that the change signals a broader crisis at the studio. It says the company remains profitable, its PlayStation relationship remains intact, and Physint is moving forward with Xbox.

There are still major unanswered questions. Kojima Productions has not announced a release date, a complete platform lineup or detailed gameplay systems for Physint. Those details will ultimately determine how significant the publishing move becomes for players.

For now, the clearest picture is of an independent studio reshuffling one of its most important publishing relationships rather than retreating from development. Physint remains active, Xbox has taken a larger role in Kojima Productions’ future, and the studio is making clear that its history with PlayStation has not ended with that change.