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 a 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.

The trailer, which you can check out below shows off some of the story of Paranormal Activity: Threshold, as well as its take on the found footage genre of horror. The story itself revolves around a group of young people moving into a haunted house because it was the only one that they could afford. As part of this, the player will have to deal with the various hauntings, and solve puzzles to discover the secrets behind the house.

The two pain protagonists of Paranormal Activity: Threshold are Daniel and Jessica Stewart, who have set about to remodel the old and dilapidated home. The found footage premise is established with the duo deciding to chronicle their attempts at remodelling by recording it with a handheld camera.

The horror aspects of the title start to bleed in when the Stewarts discover strange markings and items hidden in the various walls of the house. A dark presence then begins haunting them, slowly eating away at both of their mental states as they try and figure out what exactly going on.

Being developed by the studio behind The Mortuary Assistant, Paranormal Activity: Threshold will also feature plenty of puzzles for players to solve during their time in the house These can range from finding the right way to open a door, the messing with in-game objects, like an Ouija board.

One of the big twists in gameplay is the fact that players will get to explore multiple timelines of events that have taken place in the house. Along the way, as players uncover more and more of the secrets behind the dark presence haunting the house, they will also get to communicate with these entities. Thanks to the ability to play with multiple timelines and make various choices throughout the story, as well as the title’s use of the Paranormal Engine, the studio has also noted that each playthrough of the game will be unique.

All of the gameplay will essentially revolve around players figuring out the nature of the entities in the house, and then setting forth to discover solutions for how these entities can then be hunted down. Aside from these facts, however, not too many details about the gameplay of Paranormal Activity: Threshold have been revealed.

The last major title by DarkStone Digital was The Mortuary Assistant, which was released last year on PC, PS4, PS5, Xbox One and Xbox Series X/S. For more details about it, check out our review, where we gave it a score of 8 out of 10 thanks to its engaging narrative and gameplay loop.