Most of the Destiny team and some members of the Marathon team were affected.
Bungie is undergoing another major round of layoffs, with PlayStation confirming that a significant number of employees have been affected across the studio, including most of the team behind Destiny 2 and some developers working on Marathon.
The announcement marks another difficult chapter for one of gaming's most recognisable studios. With Destiny 2 having reached the end of its live-service journey and Marathon still finding its footing, the restructuring raises fresh questions about what comes next for Bungie and two of PlayStation's biggest live-service franchises.
Why is Bungie laying off employees?
In a message sent to Sony Interactive Entertainment employees and published on the SIE website, CEO of Studio Business Group Hermen Hulst confirmed that Bungie's workforce would be reduced across multiple teams.
"Today I want to share a difficult update regarding Bungie," Hulst wrote. "We have made the decision to reduce Bungie’s workforce, affecting a significant number of employees, including most of the Destiny team and some Marathon team members."
The layoffs also extend beyond Bungie itself, with Hulst confirming that "there are also reductions across SIE teams that support Bungie’s operations."
According to the message, the decision followed months of discussions between PlayStation and Bungie leadership as they reviewed the studio's future direction.
"This decision was made only after extensive discussion and careful consideration," Hulst said, adding that they "explored multiple alternatives before concluding that a reduction was necessary to align the studio’s resources with its current priorities and long-term goals."
Why did Bungie announce layoffs?
Bungie addressed the restructuring in a separate public statement, describing the decision as part of a broader reorganisation of the studio. "With great sadness, we are announcing a reduction in force as we reorganize Bungie," the studio said in a post on X (forrmerly Twitter on Thursday (25 June):
The developer acknowledged that Destiny 2 had struggled to meet expectations in recent years, saying: "As the leaders of Bungie, past and present, we recognize Destiny 2 fell short of expectations these past several years. Following our final content update to Destiny 2, and with our future projects still in early incubation, we unfortunately could not continue operating at our previous size."
While the studio said the restructuring is intended to better position Bungie for the future, it also stressed the impact on employees and the wider studio.
"We know this decision has a profound impact on the people affected, their families, friends, and teammates," the statement read. "While these changes are necessary to best position the studio now and for the future, that does not lessen the difficulty of this moment or the impact it has on those affected."
Bungie added that more information about its future projects would be shared later, saying: "Later, we will share more about that future with you all but today is not that day."
What happens to Destiny and Marathon now?
Despite the restructuring, Hulst indicated in his statement that Marathon remains part of PlayStation's long-term plans. "Marathon remains an important part of our portfolio, and we will continue to support the team as they build on the strong foundation established in Season 1 and 2, and as they work on incubation efforts for future projects."
Meanwhile, Hulst reflected on Destiny's legacy following the game's final live-service content update, writing that "What Bungie has accomplished with Destiny over the past decade has been truly remarkable. The franchise has left a lasting mark on players and the industry, and everyone who contributed to its success should be proud of what they helped create."
While Marathon remains in development and Bungie says that more will be shared about its future projects in time, the studio's immediate focus is on supporting employees affected by the layoffs.
