Seth 'S-Kill' Killian, famous for his involvement with the EVO fighting game championships and Street Fighter, left Capcom last month.
Today he announced that he had joined Sony Santa Monica as a lead game designer.
"Fighting games are very close to my heart, and as someone that's spent much of my life with traditional fighters, All-Stars has been a great opportunity to take a step back and rethink fighting fundamentals from the ground up," writes Killian on the PlayStation blog.
"The entire team was put together from scratch to create this game, and they are loaded with fighting game superstars (including some impressive tournament credentials - I'm not even the first EVO finalist to join the team!) who love great combat just as much as I do.
Describing All-Stars Battle Royale as a "love letter to Sony fans", Killian praised the game's addictiveness.
"Beyond great character designs or all the ingenious little ideas that make combat feel great, the real test of a great game to me is that 'just *one* more game!' feeling.
"If it's 3am and you have to work the next day, but you've still got the urge to play again, you know you're doing something right."
PlayStation All-Stars Battle Royale was officially announced by Sony in April.
The game is a mascot-filled brawler similar to Nintendo's Super Smash Bros Melee. Rumours of its existence intensified after a domain name was registered by Sony.
Confirmed characters include Fat Princess, Sly Cooper, Colonel Radec from Killzone, Parappa the Rapper, Kratos from God of War and Sweet Tooth from Twisted Metal.
It will offer single and multiplayer modes, including support for up to four players locally, as well as a number of online tournament options.
The game has been in development for the past two years, and is scheduled for release later this year. A Vita version was confirmed at this year's E3 Gaming Expo.
Watch a trailer for PlayStation All-Stars Battle Royale below: