The online game in The Last of Us universe was great, but Naughty Dog knew it couldn't support it without compromising future projects

The cancellation of the multiplayer project The Last of Us Online has caused a great deal of fan outcry, and former PlayStation Studios head Shuhei Yoshida has shared his thoughts on the decision.
Here's What We Know
Naughty Dog announced the development of a standalone online game in The Last of Us universe even before The Last of Us: Part 2. During development, the team repeatedly hinted at the ambitiousness of the project. However, in 2023, the game was cancelled as the studio decided to focus on single-player projects.
In an interview with Sacred Symbols+, Yoshida said that he had the opportunity to play the game and it was great. "Naughty Dog came up with the idea for The Last of Us Online, and they really wanted to make it happen," he said. However, Bungie explained to them that creating games with elements of the service requires significant resources, and Naughty Dog realised that they could not do it without compromising other projects.
Sony has recently cancelled two projects of its Bluepoint and Bend Studio services. Because of this, many believe that a bunch of teams have spent an entire generation on games that will never see the light of day. However, after these mistakes, Sony should continue to focus on story-driven games.
Source: Sacred Symbols+.