Sony Interactive Entertainment has confirmed a new round of layoffs at Bungie, with workforce reductions also affecting several PlayStation teams that support the studio.
In an internal email shared with employees, Hermen Hulst, CEO of the Studio Business Group at Sony Interactive Entertainment, said the company had “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. There are also reductions across SIE teams that support Bungie’s operations.”
Hulst said the decision followed months of discussions with Bungie leadership, during which the companies reviewed the studio’s long-term direction, development priorities, resource needs and its role within PlayStation’s broader portfolio. He added that multiple alternatives were considered before deciding that the layoffs were necessary to align the studio with its current priorities and long-term goals.
The memo also states that Marathon remains an important part of PlayStation’s portfolio and that Sony will continue supporting the team as development continues. Hulst added that Bungie is also working on incubation efforts for future projects, although he said it was too early to discuss them in detail.
Sony said its immediate priority is supporting affected employees through the transition, including providing transition assistance and, where possible, identifying opportunities elsewhere within Sony Interactive Entertainment and its global network of studios.
Bungie also issued a public statement confirming the restructuring.
“With great sadness, we are announcing a reduction in force as we reorganize Bungie,” the studio said.
The developer added, “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.”
Bungie said it plans to share more about the studio’s future at a later date, but for now thanked both departing and remaining employees for their contributions.
