Developer DarkStone Digital and publisher DreadXP have announced that development on the studio’s upcoming horror game, Paranormal Activity: Threshold, has been stopped, and the project has been cancelled. In a social media post, the solo developer behind DarkStone Digital, Brian Clarke, thanked fans of his previous work, The Mortuary Assistant, for their support on this new project.
In his statement, Clarke explained that the cancellation ultimately came down to him needing more time to develop Paranormal Activity: Threshold, and Paramount, the company that holds the IP rights for the Paranormal Activity franchise, denied the request. Rather than rushing through development and putting out a “sub-par product,” Clarke instead decided that the involved parties would go their separate ways.
“It’s no secret that game development means constant change and challenges, especially as a solo indie,” he wrote. “It became clear that the game needed more time to ensure it was the best it could possibly be. DreadXP stood by my need for more time and, together, we made a request to Paramount for a time extension.”
“Sadly, Paramount did not agree to extend development. This left me with two choices: Rush through development and release a sub-par product I would not be proud of, or request we go our separate ways. I chose the latter.”
Clarke went on to note that, while this project has come to an end, it doesn’t mean he will stop making games entirely. Rather, he will be taking a break from working and going on a short vacation, after which he will be happy to come back to working on more horror projects.
“So this chapter ends for me, but I’m not going anywhere,” he explained. “I may need a small vacation, but I am excited and eager to return to my corner of horror that you all have so generously allowed me to occupy. On to the next grave to discover what horrors I may unearth.”
Paranormal Activity: Threshold was announced quite some time ago. In October 2025, DarkStone Digital released new trailer giving us a glimpse at the kinds of horror it would offer. The trailer had also confirmed that it would make use of the found footage style of storytelling that the Paranormal Activity movies are known for.
The title was going to feature two protagonists—Daniel and Jessica Stewart—who had decided to remodel an old and dilapidated home, chronicling the entire thing by recording it with a handheld camera. Horror aspects started bleeding in when the duo discovered strange markings and items hidden in the walls of the house, and a dark presence started haunting the married couple.
DarkStone Digital was being quite ambitious with the title, with plans to offer players multiple timelines of events that take place throughout the house. Through this, players would be able to discover many secrets about the dark presence haunting the Stewarts, and Paranormal Activity: Threshold would have also ended up featuring quite a bit of replayability.
For more details on the works of DarkStone Digital, take a look at our review of Clarke’s previous game, The Mortuary Assistant, which was released on PC, PS4, PS5, Xbox One, and Xbox Series X/S in 2024.