Controlling the starfighter FX-01 "GeoSword" from a first-person perspective, the player is tasked with eliminating the Unknown Intelligent Mechanized Species (UIMS) before they wipe out Earth.

The team drew inspiration from Hollywood science-fiction films, particularly Star Wars, and wanted the game to have a more cinematic presentation with cutscenes and an orchestra soundtrack.

[3] Development lasted about a year and a half with 25 people — Nakatani recalls the team being eager to work on the System 21 hardware created for the game.

[2] Inspiration was drawn from various Hollywood science-fiction, notably Star Wars, with the team wanting to create a cinematic-like presentation akin to those films.

[2][3] The arcade cabinet for the game used a large concave mirror, dubbed the "Infinite Distance Projection" system by Namco, which gave the effect of depth and a more open environment.

[2] The team toyed with the idea of letting the player control their ship and projectiles, however it was scrapped as it would greatly affect the core gameplay, instead focusing on targeting and shooting enemies.

[7] A PlayStation remake, Starblade Alpha, was released in 1995 and much like the 3DO version featured an option to replace the game's flat-shaded polygons with textured graphics.

[27] Retro Gamer labeled the game a "graceful space ballet", praising its impressive technological capabilities and rail shooter gameplay.

Reviewing the Sega CD version, GamePro praised the game's graphics and sound effects, and remarked that the highly simplistic gameplay would be unappealing and dull to experienced gamers but enjoyable and challenging to younger players.

[31] A similar response was echoed by Famitsu, who praised the game's graphics and faithfulness to the arcade original but criticized its low replay value and lack of extra features.

[21] GamePro's brief review criticized that it was unchanged from the year-old 3DO version, unfavorably comparing it to Panzer Dragoon II on the Sega Saturn.

The game was presented at the 2001 Amusement Operator's Union (AOU) tradeshow hosted in Osaka, Japan, having a 75-minute wait time to play it.

[34] In a 2015 interview with Kazushi Imoto, lead producer for Bandai Namco's Star Wars Battle Pod, he noted that Starblade: Operation Blue Planet and other similar cancelled projects could see a potential release if there is enough fan demand.