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Konami’s unlikely resurgence is one of the most interesting gaming stories of 2026. While major publishers face escalating budgets and pressure to make every franchise instalment larger, Konami has found momentum by reviving familiar properties through focused projects and carefully chosen external studios.

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From industry punchline to credible comeback

Konami’s recovery is especially notable because the company spent much of the previous decade struggling to maintain relevance. Its public fallout with Metal Gear Solid creator Hideo Kojima damaged goodwill after the award-winning Metal Gear Solid 5: The Phantom Pain, while the publisher’s games output from 2016 through 2024 was relatively modest.

Major series including Metal Gear Solid, Castlevania and Silent Hill appeared to be dormant, with sports titles and retro re-releases filling some of the gaps. The first signs of renewed activity arrived in 2023 through Super Bomberman R 2 and Metal Gear Solid Master Collection Vol. 1, but the more substantial change came the following year.

Silent Hill provided the blueprint

Konami began testing a new direction for Silent Hill with the experimental Silent Hill: The Short Message in 2024. Although the short-form project received a poor critical response, it demonstrated that the publisher was serious about returning to the series.

The major breakthrough was the successful Silent Hill 2 remake, developed by Bloober Team rather than an internal Konami studio. Bloober had established itself as an independent horror specialist, making it a logical partner for a project that needed a modern interpretation of a well-known property.

That partnership model continued with 2025’s Silent Hill f. NeoBards Entertainment, a developer with previous experience working with Capcom on projects such as Resident Evil: Resistance, was given considerable creative freedom with the franchise. The result was a radical reimagining that connected with fans and sold two million units within six months of release.

A monster standing in a concrete hallway.

In 2026, Silent Hill: Townfall extended the approach. The compact horror title was created by Screen Burn Interactive, the developer behind Stories Untold. Its sales performance had not been established at the time of writing, but a smaller production gives Konami more flexibility than a high-cost, all-or-nothing release.

Hinkao near a fox statue in Silent Hill f's shrine vault puzzle

Castlevania returns through a smaller-scale game

Konami has now applied the same thinking to Castlevania. Castlevania: Belmont’s Curse is the series’ first original game in more than a decade, with development handled by Evil Empire.

Evil Empire built its reputation through Dead Cells and The Rogue Prince of Persia, games that demonstrated a clear understanding of action-platforming traditions associated with Castlevania. Instead of attempting an enormous reinvention, the studio delivered a compact 2D action game that gives fans another classic-style Metroidvania.

For players interested in the design language behind these games, RETROCADE’s arcade blog explores the history and evolution of arcade-inspired releases.

A sustainable alternative to bigger and costlier games

Konami’s recent results suggest a straightforward formula: match a recognisable property with an experienced specialist, then define the project around what that team can realistically deliver. That is different from forcing every franchise to become a more expensive and expansive tentpole release than the one before it.

The company could continue this strategy with other developers. Adglobe and Live Wire, the studios behind Ender Magnolia, could be considered for a future Castlevania project, while Team Ladybug’s work on retro action games such as Blade Chimera points towards another possible fit. These are potential directions rather than announced projects, but the creative possibilities are broader now that a new entry does not need to be enormous.

That compact philosophy also has a natural connection with the hardware found in a home arcade. Players comparing full-size cabinets, compact systems and DIY projects can use RETROCADE’s arcade machine buying guide before choosing a setup.

Other publishers are testing the same idea

Konami is not alone in exploring smaller franchise projects. Sony released God of War: Sons of Sparta, a 2D prequel developed by independent studio Mega Cat Studios, although it received a mixed response. Even so, a project of that scale is unlikely to carry the same financial risk as a major failure such as Concord.

Ubisoft and Sega have also experimented with the approach through Prince of Persia and Shinobi. The pattern creates more opportunities for series that might otherwise receive a new instalment only once every five or six years, while giving smaller developers room to reinterpret established ideas.

Silent Hill Townfall St Amelia town square

The right partnership matters most

There is no guarantee that a compact project will succeed. The outcome depends on the match between the franchise, the development team and the scope of the game. Konami’s current run works because its partners appear well suited to the properties they are handling, rather than being asked to imitate a mega-budget production with fewer resources.

Whether this becomes a lasting industry model remains to be seen. For now, Konami’s revival shows that established game series can remain commercially and creatively useful without constantly expanding. A focused project from a capable studio may be a more sustainable way to keep classic franchises alive.

For a broader look at the equipment and components that bring arcade-style games into an Australian home, browse RETROCADE’s arcade machines, bartop arcades and arcade parts.

Castlevania: Belmont's Curse
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