SIE has announced a significant reduction to Bungie’s workforce, with the cuts affecting most of the team responsible for Destiny as well as some employees working on Marathon.
The company confirmed the layoffs through an internal email sent to employees by Hermen Hulst, CEO of SIE’s Studio Business Group. Some members of wider PlayStation teams that support Bungie’s operations are also being let go.
Sony did not reveal how many employees have been affected, describing it only as a “significant number”.
“This is painful news, especially for talented colleagues whose roles have been eliminated,” Hulst wrote.
Sony reviewed several alternatives before cutting jobs
According to Hulst, Sony and Bungie’s leadership spent several months reviewing the studio’s long-term direction, development priorities, resource requirements and position within PlayStation’s wider portfolio.
The company said it considered several alternatives before deciding that the workforce reduction was necessary to bring Bungie’s resources in line with its current projects and longer-term plans.
Affected employees at Bungie and supporting SIE teams were informed of the decision on June 25, 2026.
Sony says it is providing transition support to those losing their jobs and will attempt to find alternative roles across SIE and its network of studios where possible.
Most of the Destiny team has been affected
The layoffs arrive shortly after Bungie released the final live-service content update for Destiny 2.
Bungie announced in May that active development on Destiny 2 would conclude following the Monument of Triumph update, which launched on June 9. The game will remain playable, but it will no longer receive the same ongoing stream of major live-service content.
The studio said at the time that it had reached a point where Destiny needed to exist beyond Destiny 2, with Bungie turning its attention towards incubating new games.
Hulst praised the work completed by the Destiny team over the past decade, saying the franchise had left a lasting impact on both players and the wider games industry.
However, the confirmation that most of the Destiny team is affected by the layoffs raises questions about how extensively Bungie intends to revisit the franchise in the future.
Bungie previously said that players would be the first to know when it had more news to share about Destiny, but no new game or major franchise project has been announced.
Marathon development will continue
While some members of the Marathon team are also affected by the workforce reduction, Sony says the game remains an important part of PlayStation’s portfolio.
Hulst said Sony will continue supporting the team as it builds on the foundation established through Marathon’s first two seasons.
The studio is also working on early incubation efforts for future projects, although Sony says it is too early to discuss them publicly.
The statement suggests Bungie will continue operating as a developer within PlayStation Studios, but with a smaller workforce and a narrower selection of active projects.
Sony acquired Bungie in 2022, partly because of the studio’s experience developing and operating large live-service games. Bungie has since undergone several rounds of restructuring as Sony reassessed its broader live-service strategy.
The latest cuts represent another major change for the studio as it moves away from active Destiny 2 development and focuses more heavily on Marathon and potential future projects.
FAQ
How many Bungie employees have been laid off?
Sony has not provided a specific figure. It said the cuts affect a significant number of employees, including most of the Destiny team, some Marathon developers and members of SIE teams supporting Bungie.
Is Bungie ending Destiny 2?
Destiny 2 will remain playable, but Bungie has concluded active development following the Monument of Triumph update released on June 9, 2026. The game is no longer expected to receive regular major live-service content.
Has Marathon been cancelled?
No. Sony says Marathon remains an important part of its portfolio and that it will continue supporting the development team, despite some Marath
