Bungie Announces Layoffs in the Wake of Destiny 2’s Final Update as it “Could Not Continue Operating at our Previous Size”

Jun 25, 2026 at 11:00am EDT
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The final update for Destiny 2 went live a little more than two weeks ago, on June 9, 2026. Today, in the wake of Bungie putting the game and franchise it had been working on for over a decade down, the studio announced its latest round of layoffs, as a statement shared on its official X (formerly Twitter) account reads "we unfortunately could not continue operating at our previous size."

This is, unfortunately, exactly what was expected to happen with Destiny 2's sunsetting. It hadn't even been 24 hours between the announcement that Destiny 2 would stop receiving content updates and reports that the studio was about to face "significant layoffs" as a result. The added layer to these cuts being that Bungie is not moving on to Destiny 3, at least not right now.

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In the meantime, Bungie will shrink, it'll pitch PlayStation on new projects, and keep working on Marathon with the hopes that the extraction shooter can pick up some commercial success to go along with its critical success.

The statement doesn't indicate how many people will be cut, but Bloomberg's Jason Schreier adds on Bluesky that the number will be "significant" and that it will be "most of the Destiny team, some on the Marathon team, and even various Sony staff who supported Bungie," according to his sources.

Today's layoffs include most of the Destiny team, some people on the Marathon team, and even various Sony staff who supported Bungie, according to people familiar with the situation.

Jason Schreier (@jasonschreier.bsky.social) 2026-06-25T14:34:11.878Z

Following Bungie's statement, Sony's studio business group chief executive officer, Herman Hulst, shared a statement attributed to him on the official Sony Interactive Entertainment Blog. The statement congratulated Bungie on the accomplishment that was Destiny 2, while also doing his best to calm concerns about Bungie's future.

"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," Hulst wrote.

"Marathon remains an important part of our portfolio," he continued, "and we will continue to support the team as they build on the strong foundation established in Season 1 and 2, and as they work on incubation efforts for future projects. While it's too early to discuss, we are encouraged by the creativity and opportunities that lie ahead." Hulst's statement also confirms Schreier's report that teams within SIE that supported Bungie would also be impacted.

Marathon is currently Bungie's only active title, and even as it reveals more of what to come for Season 2, the extraction shooter is still struggling to find its footing outside of a small but dedicated fanbase.

About the author: David has been writing about videogames, technology, and culture since 2020, with a focus on reporting daily news across multiple publications, including GameDaily.Biz, GameSkinny, and PlayStation Universe before joining Wccftech in 2025. David started contributing as Canada/US reporter for Wccftech's gaming section in 2025. Besides being up-to-date on the industry's movements, he loves interviewing developers, reviewing games, and writing intricate essays about the symbolism and layered meanings to be found in rich narratives as he's done for publications like GamesIndustry.Biz, LostInCult, and others. Outside of games he loves movies, music, theatre, his hometown, and his family, though not necessarily in that order.

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