Kojima Productions has rejected reports that the studio is in financial difficulty after Sony reportedly dropped funding for Physint, prompting speculation about tensions between the companies. The dispute matters because the decision was reportedly linked to missed deadlines, budget and profitability concerns, and the game’s timed exclusivity, while Hideo Kojima had expressed concern that losing the contract could threaten the studio’s survival.

Kojima said he had believed Physint was secure and feared that losing it could force widespread redundancies or leave the company without enough cashflow. Kojima Productions has since stated that it remains healthy and profitable, despite claims of disappointing sales for Death Stranding and its sequel, and insisted that its relationship with PlayStation remains strong.