The acquisition of Repeat.gg was part of Sony's major push into the competitive gaming market. During the same period, the company also acquired a stake in the Evo tournament, but has since gradually begun to scale back its esports initiatives.
Last year, Sony sold its stake in Evo, and now it has finally closed its own tournament platform. The official statement from Repeat.gg speaks of a “difficult decision made after careful consideration.” Such wording usually indicates weak project profitability or a change in company priorities.
The closure of Repeat.gg continues a series of changes within PlayStation, but this time it's not about liquidating a game development team, but about a service that never became an important part of the Sony ecosystem.