Sony Cuts 292 Jobs at Bungie, Affecting Destiny and Marathon Teams

Sony Interactive Entertainment is laying off 292 employees at Bungie, according to a WARN filing with Washington State’s Employment Security Department. The cuts hit “most of the Destiny team” and some developers working on Marathon, PlayStation Studios head Hermen Hulst said in an official post.

Hulst said some Sony staff who supported Bungie are also being let go. He described the decision as the result of a review of Bungie’s “long-term direction, development priorities, resource needs, and role” inside Sony’s broader studio group.

The layoffs come as Bungie has already been winding down development on Destiny 2. Hulst praised the studio’s work on the sci-fi shooter series, while saying Marathon remains “an important part” of Sony’s portfolio. Sony will continue backing Bungie’s work on the extraction shooter, along with future projects that appear to still be early on.

The cuts had been expected. In May, Bloomberg’s Jason Schreier reported that Bungie was preparing significant layoffs as Destiny 2 development came to an end.

Sony bought Bungie for $3.6 billion in 2022, but the acquisition has since taken a financial hit. The company wrote down the purchase price by $765 million during its 2025/26 financial year, about 21% of the original deal value.