The end of Destiny 2 was always going to hurt. But few expected it to hurt quite this much, quite this fast. On June 25, 2026, Bungie confirmed a significant reduction in force just weeks after the studio shipped Destiny 2’s final content update. The cuts are sweeping, the future is uncertain, and the studio that built one of gaming’s most beloved franchises is now fighting to stay relevant with a single game that has struggled to find its footing.
What Happened at Bungie?
Bungie announced on June 25, 2026 that the studio is undergoing a significant reduction in force as part of a broader reorganisation. The layoffs affect most of the Destiny team and some Marathon team members, with additional cuts hitting Sony Interactive Entertainment staff who supported Bungie’s operations.
PlayStation CEO Hermen Hulst confirmed the news in a public letter, stating the decision came after months of review covering Bungie’s long-term direction, development priorities, and resource needs. Bungie’s own statement on social media acknowledged directly that Destiny 2 fell short of expectations in its final years.
Bungie’s studio head Justin Truman, who took over less than a year ago, has also stepped down, according to Bloomberg reporter Jason Schreier.
Bungie Mass Layoffs June 2026 Overview
| Detail | Info |
| Date of Announcement | June 25, 2026 |
| Studio Affected | Bungie |
| Teams Impacted | Most of Destiny team, some Marathon team, some SIE support staff |
| Estimated Pre-Layoff Headcount | Around 800 employees |
| Sony Acquisition Price (2022) | $3.6 billion |
| Destiny 2 Final Update | Monument of Triumph, June 9, 2026 |
| Studio Head Departure | Justin Truman stepping down |
| Marathon Status | Continuing; new PvE mode planned for July 21 |
What Did Bungie and Sony Say?
Bungie’s full statement, shared via social media, reads:
“With great sadness, we are announcing a reduction in force as we reorganize Bungie. 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. We know this decision has a profound impact on the people affected, their families, friends, and teammates. While these changes are necessary to best position the studio now and for the future, that does not lessen the difficulty of this moment or the impact it has on those affected.”
In his separate letter to Sony employees, Hulst wrote:
“What Bungie has accomplished with Destiny over the past decade has been truly remarkable. The franchise has left a lasting mark on players and the industry, and everyone who contributed to its success should be proud of what they helped create.”
On the future of Marathon, Hulst confirmed that the extraction shooter “remains an important part of our portfolio,” and that the remaining team will continue building on the foundation established in Season 1 and Season 2 while working on incubation efforts for future projects.
How Did Things Get Here?
The layoffs did not come out of nowhere. Here is a timeline of the key events leading up to June 25:
2022 — Sony acquires Bungie for $3.6 billion, partly as what sources later described as an emergency acquisition to keep the studio financially afloat.
Earlier in 2026 — Sony records a $565 million impairment loss linked to Bungie’s struggles with both Destiny 2 and Marathon.
June 9, 2026 — Destiny 2 receives its final content update, the Monument of Triumph, ending the game’s nearly decade-long live-service run. Despite fan campaigns calling for a Destiny 3, Sony gave no indication of plans to continue the franchise.
June 2026 — Former Bungie community manager Liana Ruppert publicly claimed that inadequate investment and leadership decisions contributed to Destiny 2’s financial challenges.
June 25, 2026 — Mass layoffs confirmed. Studio head Justin Truman steps down.
What About Destiny 3?
What About Destiny 3?
There is currently no confirmation of Destiny 3. Despite widespread fan rallying since the announcement of Destiny 2’s end, Sony has given no indication that a sequel is in development. One report claimed that a relaunch titled Destiny Infinity was discussed internally but ultimately dismissed. Bungie’s own statement describes its future projects as being in “early incubation,” with no specific titles confirmed.
What Happens to Marathon?
Marathon is the only active game at Bungie right now, and Hulst confirmed it will continue. However, the extraction shooter has faced its own challenges since launch, with player numbers declining and the studio actively working to rebuild its audience. A new dedicated PvE-only mode is planned for July 21, designed specifically with solo players in mind.
Bungie estimates its headcount at around 800 employees as of recent months, already down from a pandemic-era peak of roughly 1,300. The scale of these latest cuts suggests the studio will emerge significantly smaller, focused almost entirely on Marathon while early-stage project pitches take shape behind the scenes.
What This Means for Bungie’s Future
The picture is not a comfortable one. Sony paid $3.6 billion for Bungie in 2022 and has since taken impairment losses of $565 million against that investment. Marathon launched without the breakout success the studio needed, and Destiny 2 is now finished. With most of the Destiny team gone and the studio head stepping down, Bungie enters an uncertain new chapter with a much smaller workforce and no confirmed next project beyond Marathon.
Sony has stated it is working to find opportunities for affected employees across SIE and its wider studio network, and Hulst acknowledged the difficulty of the moment for those who remain as much as those who are leaving. For now, Marathon carries the entire weight of Bungie’s near-term future, and the pressure on that game could not be higher.
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