TOKYO, Sept. 9 -- Metal Gear creator Hideo Kojima said development of PHYSINT would continue under a new partnership with Xbox after PlayStation Studios unexpectedly cancelled the project in mid-June.

Kojima confirmed the shift in direction through posts on his official social channels, saying his studio had spent three months searching for a new partner following the cancellation.

PlayStation later issued its own update on X, saying it had "made the difficult decision to step away from collaborating with Kojima Productions on its project PHYSINT," while adding that it continued to hold "great admiration for Hideo Kojima's vision for the game."

The company said its relationship with Kojima remained strong after "three decades of indust...