Bungie has officially confirmed another major round of layoffs, with parent company PlayStation now commenting on the decision. After weeks of reports and speculation, the studio announced that hundreds of employees have been let go, while PlayStation says the decision came only after months of reviewing Bungie’s future.
According to reports, 292 employees have been laid off from Bungie’s headquarters in Bellevue, Washington. The cuts affect much of the Destiny 2 development team, developers working on Marathon, and PlayStation Studios staff assigned to support Bungie’s operations.
Destiny 2 Performance Fell Short
In Bungie’s official statement, the studio directly acknowledged that Destiny 2 has underperformed expectations over the past several years. The company explained that the restructuring is intended to better align the studio with its current projects and long-term goals.
The statement marks one of the clearest admissions yet that Destiny 2’s commercial and player performance has become a significant concern for both Bungie and PlayStation.
This latest restructuring also represents the third round of layoffs at Bungie since Sony acquired the studio in 2022.
PlayStation Says the Decision Was Carefully Considered
Following Bungie’s announcement, PlayStation Studios CEO Hermen Hulst issued a statement describing the layoffs as a painful but necessary decision.
According to Hulst, Bungie and PlayStation leadership spent several months evaluating the studio’s long-term direction, development priorities, staffing requirements, available resources, and Bungie’s role within the wider PlayStation Studios portfolio.
He added that multiple alternatives were explored before ultimately deciding that workforce reductions were necessary.
PlayStation also confirmed it will provide transition support for employees affected by the layoffs.
Marathon and Destiny Remain Part of Bungie’s Future
Despite the significant workforce reductions, PlayStation says Bungie’s future remains focused on supporting Destiny 2 while continuing development of Marathon.
Interestingly, reports also indicate that new Destiny projects, including Destiny 3 and additional games within the franchise, have reportedly received internal approval. While Bungie has not officially announced those projects, the reports suggest Sony still sees long-term potential in the Destiny franchise despite the current restructuring.
Uncertain Road Ahead
The latest layoffs raise fresh questions about Bungie’s future and how ongoing development will be affected. With nearly 300 employees departing and this being the third restructuring since joining PlayStation, many players will be watching closely to see how support for Destiny 2 and development of Marathon progress in the months ahead.
For now, PlayStation maintains that both games remain central to Bungie’s future strategy, even as one of the studio’s largest restructurings to date takes place.
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