Horror Game News Roundup (July 2025)

It’s been a busy month for horror games, with long-awaited releases, major announcements, and a few unsettling developments across the industry. Here’s everything you might’ve missed.

Big Releases and Updates

July delivered a stacked lineup of new horror games, from atmospheric indies to anticipated sequels:

July 11 – Dread Flats

A retro-inspired Chinese survival horror set in a crumbling apartment block, where something far worse than bad neighbors lurks in the halls.

July 11 – Last Report

A pixel-art investigative horror where a night shift park ranger uncovers something deeply wrong in the woods.

July 17 – The Drifter

A gritty, point-and-click psychological horror about a man waking up with no memory and blood on his hands.

July 18 – Who’s at the Door?

Silly on the surface, but packed with jumpscares and paranoia-fueled hallucinations that keep knocking.

July 21 – Luto

A deeply emotional psychological horror about grief, trauma, and being trapped in your own home — literally.

July 24 – Killing Floor 3

Tripwire’s gore-soaked co-op FPS returns in early access with nastier Zeds, new enemies, and upgraded carnage tech.

Major Game Updates

• July 15 – The Outlast Trials: Season 4
  A new season launched with a Shopping Mall map and disturbing new Prime Asset duo: Otto and Arora, a pair of conjoined twins twisted by Murkoff’s experiments.
  
• June 29 – Dead by Daylight x The Walking Dead
  Rick and Michonne arrived as playable survivors in Dead by Daylight, further expanding its growing multiverse of horror icons.
  
• June 30 – Backroom Company leaves Early Access
  The co-op Lethal Company-inspired liminal space horror game finally hit 1.0 on Steam, featuring new environments and a dedicated story mode.

Big Announcements

The biggest reveal this month was that Sabre Interactive is making a new single-player Hellraiser game, titled Hellraiser: Revival. After the short-lived lives of Evil Dead, Texas Chain Saw Massacre, and Friday the 13th, it’s refreshing to see a licensed horror title that isn’t asymmetrical multiplayer.

And speaking of Friday the 13th, fans finally got some long-awaited good news. A new game and movie were both confirmed at San Diego Comic-Con.

Reflect Studios announced a new entry in the Welcome to the Game universe, titled Simon’s Debt. While details are sparse, early teasers suggest that Tanner from Scrutinized may return as one of the killers. 

Over in the horror film world, Shudder has acquired the film rights to The Mortuary Assistant, with plans to release the adaptation in 2026. It joins a growing list of horror games making the jump to the screen, including the Five Nights at Freddy’s sequel and Zach Cregger’s Resident Evil adaptation.

Sadly, not everything was a celebration this month. Supermassive Games’ next entry in The Dark Pictures Anthology, the sci-fi themed Directive 8020 starring Lashana Lynch, has been delayed to 2026. The studio also laid off up to 36 employees this month.

July ’25 Industry News

Capcom revealed that the Resident Evil franchise has now surpassed 174 million copies sold, strengthening its place as the best-selling horror series of all time.

Phasmophobia also passed 25 million units sold, a major milestone for a once-obscure indie game.

But behind those successes, things got rocky elsewhere. There has been ongoing turmoil between payment processors and video game platforms, including Steam and itch.io, regarding sexual content in games, catching a few horror games in the middle. It was reported that 2024’s Mouthwashing was unindexed from itch.io’s search results, and VILE: Exhumed was removed and banned from sale on Steam.

What’s Lurking in August?

August is already looking packed, with a few horror releases creeping closer, including a new Bendy action roguelike, and whatever Gamescom 2025 has in store.

We’ll be back at the end of August with another roundup of all the biggest horror news and releases.