Bungie Announces More Layoffs as Destiny 2 Winds Down

Bungie has announced another round of layoffs as Destiny 2 reaches the end of its active live-service development. The studio didn’t say how many people were affected, but said the decision follows Destiny 2 “falling short of expectations” in recent years and the game receiving its final content update.

Bloomberg’s Jason Schreier reported that the cuts include most of the Destiny 2 team, along with some developers working on Bungie’s recently released live-service shooter Marathon. Sony Interactive Entertainment also addressed the changes in an update from PlayStation Studios, with Studio Business Group CEO Hermen Hulst commenting on the restructuring.

In its statement, Bungie leadership said the studio “could not continue operating at our previous size” after Destiny 2’s final update, especially with future projects still in early incubation. Bungie said it will share more about what comes next at a later date.

The layoffs are another heavy blow for the studio, which has already seen multiple rounds of cuts over the past few years. Bungie laid off staff in 2023, then cut 220 employees in 2024 while moving another group into other roles within Sony. Sony acquired Bungie in 2022, but the studio has continued to face pressure around Destiny 2’s performance and its future pipeline.

For players, the immediate takeaway is that Destiny 2’s long-running live-service cycle is effectively winding down. Bungie hasn’t laid out what ongoing support will look like from here, or what its next major project will be.