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Japan Studio was once one of PlayStation's most famous studios and the team responsible for developing Gravity Rush. The studio was known for developing multiple high-profile IPs for PlayStation, but the team was eventually shut down in 2021.

Reflecting on the closure, Gravity Rush creator Keiichiro Toyama spoke about the main reason for Japan Studio's decline, noting that despite the studio's expertise in creating more creative and experimental titles, PlayStation wanted big-budget games from the team.

In an interview with VGC, Keiichiro Toyama explained that he doesn't necessarily need a big budget to make a good game. But PlayStation might not be interested in such projects.

He stressed that Sony wants the future of Japan Studio to be similar to that of its other big teams: "More and more motivated to make higher-budget games."

Ultimately, the developer decided to form his own independent studio, a decision he believes is the best for him. Toyama said that now he can better express his game ideas.

Overall, the closures of Japanese studios appear to be due to different development visions. PlayStation's obsession with developing high-profile games has recently become one of the gaming giant's problems, resulting in a largely empty first-party game lineup this year. Out-of-control budgets are also becoming a problem across the industry.

The creator of Gravity Rush is currently working on a new horror game, Stray Dog.