Bungie Faces Major Layoffs as 'Destiny 2' Development Concludes

WHO:

Engadget - Studio head Justin Truman has stepped down.

GeekWire - Bungie, a Bellevue, Wash.-based studio, is owned by Sony.

Techmeme - Bungie has an estimated headcount of 800 employees.

Forbes - Bungie leadership announced the layoffs.

WHAT:

KOMO - A WARN notice filed with the Washington State Department of Employment indicates that approximately 292 employees at Bungie's Bellevue facility will be affected by the layoffs.

KOMO - Affected employees are expected to separate from the company on July 9.

Forbes - Bungie leadership stated that the layoffs are unfolding as part of a "reduction in force" due to the conclusion of Destiny 2's development, with the target being around 50% of the studio, which could amount to several hundred people.

GeekWire - Bungie is undergoing a reorganization following the end of development on Destiny 2, resulting in a new round of layoffs.

Forbes - Bungie has announced that the layoffs are unfolding as part of a "reduction in force" due to the conclusion of Destiny 2's development.

Techmeme - Bungie stated that it is laying off a "significant number of employees," including "most of the Destiny team."

Game Informer - Bungie confirmed that the layoffs will include "most of the Destiny team," some Marathon developers, and employees at Sony Interactive Entertainment that supported Bungie.

Forbes - Bungie stated that "we explored multiple alternatives before concluding that a reduction was necessary to align the studio’s resources with its current priorities and long-term goals."

The Verge - Bungie's last update for Destiny 2 was released on June 9th.

The Verge - Bungie released the extraction shooter Marathon in March, but it has struggled amidst the general turmoil of the live-service space.

Forbes - Bungie has not been able to get a new game greenlit, and even if it does, it would start with a very small team.

Forbes - Bungie is now pulling out all stops to attract new players, including the launch of an upcoming dedicated PvE mode.

GeekWire - Bungie is undergoing a reorganization following the end of development on Destiny 2.

Techmeme - Bungie is laying off a "significant number of employees," including "most of the Destiny team."

Forbes - Bungie is targeting layoffs of around 50% of the studio, with a potential range of 40-55%, which could amount to several hundred people.

Forbes - Bungie stated, "With great sadness, we are announcing a reduction in force as we reorganize Bungie."

Forbes - Bungie acknowledged that Destiny 2 "fell short of expectations these past several years."

WHERE:

GeekWire - Bungie is located in Bellevue, Washington.

WHY:

KOMO - Hermen Hulst, CEO of Sony Interactive Entertainment's Studio Business Group, mentioned that the decision followed months of discussions reviewing the studio's long-term direction, development priorities, resource needs, and role within Sony's broader portfolio strategy.

The Verge - Hermen Hulst, CEO of Sony Interactive Entertainment’s Studio Business Group, stated that "we explored multiple alternatives before concluding that a reduction was necessary to align the studio’s resources with its current priorities and long-term goals."

The Verge - Bungie acknowledged that "Destiny 2 fell short of expectations these past several years" and stated that it could not continue operating at its previous size due to its future projects being in "early incubation."

Forbes - Bungie is facing uncertainty regarding its future, with unclear plans from Sony about the studio's direction, including potential total shutdown or reassignment.

Forbes - The layoffs are a result of the conclusion of Destiny 2's development and the studio's future projects being in "early incubation."

HOW:

Forbes - Internal emails from PlayStation head Herman Hulst indicate that most of the Destiny team is gone, along with some Marathon developers and SIE staff working on Bungie support.

Forbes - Bungie is reorganizing and reducing its workforce to better position the studio for the future.

(UPDATED June 26, 2026 11:53 UTC)

Bungie is set to lay off approximately 292 employees at its Bellevue facility, with affected workers expected to separate from the company on July 9. This decision is part of a "reduction in force" following the conclusion of Destiny 2's development, with leadership targeting around 50% of the studio, which could mean several hundred job losses. Hermen Hulst, CEO of Sony Interactive Entertainment's Studio Business Group, noted that this decision came after months of discussions about the studio's long-term direction and resource needs within Sony's overall strategy.

(UPDATED June 26, 2026 01:42 UTC)

Bungie is undergoing a significant reorganization following the conclusion of development on Destiny 2, which has led to a new round of layoffs affecting most of the Destiny team, some Marathon developers, and employees at Sony Interactive Entertainment who supported Bungie. According to Hermen Hulst, CEO of Sony Interactive Entertainment’s Studio Business Group, the decision for this reduction was made after exploring multiple alternatives to better align the studio’s resources with its current priorities and long-term goals. Internal communications reveal that the layoffs will impact a substantial number of employees, marking a major shift for the company.

(UPDATED June 25, 2026 23:23 UTC)

Bungie has announced a reduction in its workforce, explaining that this decision was necessary to better align the studio's resources with its current priorities and long-term goals. The company acknowledged that "Destiny 2 fell short of expectations these past several years," and noted that it cannot maintain its previous size while its future projects are still in "early incubation." Despite releasing the extraction shooter Marathon in March, Bungie has faced challenges in the live-service space, with their last update for Destiny 2 coming on June 9th.

(UPDATED June 25, 2026 19:40 UTC)

In a significant shake-up at Bungie, studio head Justin Truman has stepped down amid growing uncertainty about the studio's future. Reports indicate that Bungie has struggled to get a new game greenlit and is now focusing on attracting new players with an upcoming dedicated PvE mode, despite operating with a very small team. Internal emails reveal that most of the Destiny team, along with some Marathon developers and SIE staff, have departed, leaving the studio's direction under question from Sony.

(UPDATED June 25, 2026 17:44 UTC)

Bungie, the Bellevue, Washington-based studio owned by Sony, has announced a significant reorganization that will involve laying off around 50% of its workforce, which could affect several hundred employees, including most of the Destiny team. The decision comes after the conclusion of development on Destiny 2, which Bungie acknowledged has fallen short of expectations in recent years, and the studio's future projects are still in early incubation. In a statement, Bungie expressed sadness over the reduction in force as they work to better position the studio for the future.