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Sony Just Shared an Important Update on Bungie’s Future—But It’s Not the News Fans Were Expecting

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Sony Interactive Entertainment has confirmed significant layoffs at Bungie, affecting most of the Destiny 2 team, some Marathon developers, and several SIE support staff. This follows years of underperformance from both franchises and marks yet another painful chapter for one of gaming’s most storied studios.

Bungie Press Release June 2026: What Happened?

On June 25, 2026, Sony Interactive Entertainment CEO Hermen Hulst released an internal email publicly via the PlayStation Studios blog, confirming that Bungie had undergone another major reduction in workforce. The cuts affect most of the Destiny 2 team, some Marathon team members, and Sony Interactive Entertainment staff who directly supported Bungie’s operations.

Destiny 2 Guardians gathered under the Traveler celebrating the final live-service content update amid Bungie studio restructuring.
Image Credit: Bungie / Sony Interactive Entertainment

Hulst described the decision as made “only after extensive discussion and careful consideration,” following a review of Bungie’s long-term direction, development priorities, and role within Sony’s broader portfolio strategy.

Bungie also issued its own statement, acknowledging the difficulty of the moment directly:

“As the leaders of Bungie, past and present, we recognise 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 Press Release June 2026 Overview

DetailInformation
Announcement DateJune 25, 2026
Who Confirmed ItHermen Hulst, CEO, SIE Studio Business Group
Teams AffectedMost of Destiny 2 team, some Marathon team, some SIE support staff
Studio Head StatusJustin Truman has stepped down
Confirmed Affected Staff (WA State WARN Notice)At least 292 employees (Bungie’s Bellevue facility, effective ~July 9)
Estimated Total ImpactedOver 400 (approximately half the studio), per Forbes
Sony’s Bungie Acquisition Cost$3.6 billion (2022)
Bungie’s Last Known Headcount~850 employees (as of 2024)

What Led to This Point?

Sony acquired Bungie in 2022 for $3.6 billion, at a time when Destiny 2 was still pulling strong numbers and live-service games looked like the future of the industry. However, the years that followed told a very different story.

The studio had already been through two rounds of significant layoffs before this announcement. In 2023, Bungie cut around 100 employees. Then in mid-2024, it laid off approximately 220 staff, which represented roughly 17 percent of its workforce at the time. Between those two rounds alone, the company shed close to a quarter of its total headcount in under a year.

Destiny 2’s final live-service content update arrived in 2026, bringing the game’s active development to a close after more than a decade. The farewell update drew a massive wave of returning players, with the game peaking at over 167,000 concurrent players on Steam — its highest figure in roughly two years, and notably higher than Marathon’s all-time Steam peak. However, that surge could not reverse the studio’s financial trajectory.

Meanwhile, Marathon, Bungie’s extraction shooter launched as the intended successor project, failed to attract the audience needed to support a studio of Bungie’s size. The game’s player numbers remained far below what the Destiny franchise regularly achieved even during its quieter periods. Sony’s broader live-service push during this era also struggled, with other projects including Concord failing to find traction, adding further pressure on the studio’s performance expectations.

What About Marathon Going Forward?

Despite the scale of these cuts, Sony has confirmed that Marathon is not being cancelled. Hulst stated clearly in his letter that the game remains “an important part of our portfolio,” and that the remaining team will continue building on the foundations established in Seasons 1 and 2 while also exploring incubation efforts for future projects.

However, the team working on Marathon is now considerably smaller following these layoffs, and no specific roadmap or release plans have been shared as part of this announcement.

Leadership Changes at Bungie

Studio head Justin Truman, who had been in the role for under a year after succeeding former CEO Pete Parsons, has stepped down as part of this reorganisation, according to Bloomberg’s Jason Schreier. Reports indicate that VP of Operations Poria Torkan is among those expected to take on a leadership role going forward, though no formal succession announcement has been confirmed at the time of writing.

Is Destiny 3 Still Possible?

Hulst’s statement made no mention of a Destiny 3 at any point. Bungie’s own statement similarly offered no indication that a sequel is in development. One earlier report had suggested a rebranded relaunch titled Destiny Infinity was briefly discussed internally, but that idea was ultimately dismissed.

With most of the Destiny 2 development team now departed, the institutional knowledge required to build a successor game has taken a serious hit. As of this writing, there is no confirmed Destiny 3 in development.

What Happens to Bungie Now?

Sony has confirmed it is working to identify opportunities across its global network of studios for affected employees where possible, and that transition support is being provided to those impacted.

Hulst closed his letter with a message to the remaining workforce:

“I know today’s news is deeply difficult not only for those leaving, but for those colleagues and friends that remain. Please take the time you need to process this news and support one another.”

Bungie’s own statement ended with a note of gratitude toward every affected team member, adding:

“Today, we wish to extend our gratitude and compassion to every member of the Bungie team who has been impacted and to those who remain.”

A Timeline of Bungie’s Decline

YearEvent
2022Sony acquires Bungie for $3.6 billion
2023Bungie lays off approximately 100 employees
2024Bungie lays off approximately 220 employees (~17% of workforce)
2025Marathon launches; Destiny 2 player numbers continue to decline
2026Destiny 2 receives its final content update; over 400 staff laid off; studio head steps down

For the Guardians who spent years in the Destiny universe, this announcement lands hard. The franchise leaves behind a decade of memories, and the people who built it deserve far better than to exit this way. Wherever these developers land next, the industry will be better for having them.

Official Source: Sony Interactive Official Press Release

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