The news follows recent reports from SuperBot that the studio has been hit with significant layoffs.
"Sony Computer Entertainment can confirm that the working agreement with developer SuperBot Entertainment has amicably ended," Sony told Kotaku.
"We have had a positive working relationship with this talented studio, and wish them the best of success in their next endeavor. PlayStation All-Stars: Battle Royale and the title's forthcoming DLC releases will continue to be fully supported by Santa Monica Studio."
SuperBot issued its own follow-up statement confirming the separation from Sony.
"SuperBot Entertainment can confirm that the relationship with SCEA has ended on good terms. We are extremely grateful to have had the opportunity to work on with Sony on Playstation All-Stars Battle Royale, and are extremely proud of the work we have done," said the company.
"SuperBot Entertainment will continue working on projects that reflect our passion for games and our commitment to creating award-winning titles. We are very excited about beginning the next chapter of our future, and invite all of our fans and supporters to follow our journey."
A sequel to PlayStation All-Stars Battle Royale was rumoured to be in the works. However, it seems that if the game were to happen, it would be developed by a different studio.
SuperBot Entertainment was founded as an independent studio in 2009, and released its first game last year with the PlayStation 3 and Vita fighting game PlayStation All-Stars Battle Royale.
> Read Digital Spy's PlayStation All-Stars Battle Royale review
Watch a trailer for PlayStation All-Stars Battle Royale below: