Hideo Kojima has revealed that PlayStation's decision to stop funding PHYSINT was delivered to him during a Zoom call, leaving Kojima Productions facing a serious situation behind the scenes.

In a new interview with The Washington Post, Kojima discussed the sudden change in plans and how he reacted when PlayStation informed him that it could no longer fund the upcoming action-espionage game.

Kojima Says the News Came as a Shock

Kojima said he was “shocked and surprised” when he learned that PlayStation would no longer fund PHYSINT.

The decision reportedly created significant uncertainty for Kojima Productions, with the studio having to determine how to move forward with the project while keeping the development team informed.

Rather than canceling the game entirely, Kojima Productions ultimately found a new publishing partner.

Xbox Is Now Publishing PHYSINT

PHYSINT is continuing development with Xbox, marking a major change from the project's original PlayStation partnership.

Kojima Productions officially confirmed the new relationship earlier this month, saying Xbox's involvement would provide full support for the project. The studio also emphasized that its relationship with PlayStation remains strong.

The project is still being positioned as Kojima's ambitious return to the action-espionage genre and has been described as a culmination of his decades-long career.

Bill Skarsgård Joins the Cast

PHYSINT is also continuing to expand its cast.

Kojima Productions recently confirmed Bill Skarsgård as the game's lead, joining previously announced cast members including Charlee Fraser, Don Lee and Minami Hamabe.

The studio has described PHYSINT as its third original IP and says the game will combine advanced technology with a major cast in an attempt to push the action-espionage genre forward.

PHYSINT Survives a Major Behind-the-Scenes Shake-Up

The change from PlayStation to Xbox represents a significant shift for PHYSINT, but the project itself is still moving forward.

Kojima's comments also provide a clearer picture of just how serious the situation became before the new partnership was established. Despite the uncertainty surrounding the game's publisher, Kojima Productions says the studio remains healthy and that development continues.

With Xbox now backing PHYSINT and Bill Skarsgård attached to the lead role, the project has entered a very different phase from the one originally announced with PlayStation.