Highly Anticipated 2026 Horror Game Has Been Canceled & Pulled from Steam

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The year started strong for horror game fans with the release of Resident Evil Requiem, which thankfully lived up to the hype. While it might be the most exciting release of the year, there are still plenty of other horror games coming soon, like Silent Hill: Townfall and Halloween: The Game. Unfortunately, fans hoping for a video game based on the Paranormal Activity movies received disappointing news.

Despite being a well-known horror movie series, Paranormal Activity hasn’t had many video game adaptations. That’s why fans were excited about Paranormal Activity: Threshold, developed by DarkStone Digital and DreamXP, which was scheduled to come out in 2026. Although first announced in 2024 and previewed with a story trailer in late 2025, the game has now been canceled. Brian Clarke, the developer behind the popular game The Mortuary Assistant, revealed the news on social media on May 7th. It has already been removed from Steam, where players could previously add it to their wishlists.

New Paranormal Activity Game Scrapped Due to Development Delays

After the success of Mortuary Assistant and the well-known Paranormal Activity franchise, horror fans were excited about Threshold. The game received positive feedback in early previews, including at this year’s PAX East. Threshold was set in a haunted house where players would solve puzzles to manage ghostly encounters. Like the Paranormal Activity movies, it would have used a found footage style and featured ghost hunting equipment such as EMF readers and Ouija boards. Players would have explored different timelines to uncover the terrifying secrets of the house.

Unfortunately, the highly anticipated horror game Paranormal Activity: Threshold has been cancelled. Darkstone Digital, the game’s developer, requested more time from Paramount, the owner of the Paranormal Activity license, to ensure the game met their quality standards. However, Paramount declined to grant an extension. Rather than release an unfinished product, Darkstone and publisher DreadXP have decided to abandon the project, despite originally planning a 2026 release.

Hi everyone, please take a moment to read this important update. I also want to express my sincere gratitude for your support – both for my work and for independent developers everywhere!

— Brian Clarke (DSD) PAX EAST (@darkstonedigital.com) 2026-05-07T19:06:34.626Z

Shortly after the announcement that it was cancelled, Paranormal Activity: Threshold was removed from Steam. The game’s creator, Clarke, is stepping away from the project for now, but plans to return to making horror games in the future. While fans of Mortuary Assistant and Paranormal Activity won’t get this game this year, Darkstone Digital will likely create something new eventually. A new Paranormal Activity movie is also planned for next summer. It’s still disappointing that Threshold, which looked promising, won’t be finished. With many of this year’s biggest horror games still without confirmed release dates, it might be a slow year for fans of the genre.

Excited about Paranormal Activity: Threshold? Share your thoughts and join the discussion in the ComicBook Forum!

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2026-05-08 18:40