Bungie Planning For Major Layoffs

Bungie is reportedly preparing major layoffs after Destiny 2’s final update as the studio shifts focus toward Marathon.

Reportedly, the developer, which is now a Sony subsidiary, doesn’t have a project lined up for the Destiny 2 team after the final update for that game comes on June 9. It is also said that the studio is investing more in Marathon, the extraction shooter title released in March. Since its release, the game has not met sales expectations, but the studio hopes the game will expand its player base over time. In recent months, some of the people working on Destiny were moved to work on Marathon.

Bungie Layoffs Reportedly Forthcoming as Studio Focuses on Marathon

According to the report from Jason Schreier of Bloomberg, Bungie is planning for a significant number of layoffs after Destiny 2’s final update. The studio does not have plans to enter production on a third Destiny title immediately, and it was not made clear how many people would be affected by the cuts. Staff is looking to pitch new projects, including potential Destiny-related ones; however, nothing has been greenlit yet. The report also states that there’s no guarantee any project will move forward in the current challenging market, which has led Sony to raise prices on its console and subscription services.

Unfortunately, major layoffs have been a recurring theme throughout 2026 in the gaming landscape. Not only have major publishers like Ubisoft seen massive cuts and project cancellations. Many games have met an early demise. One such title was Highguard, which went from being the final game announced at the Game Awards to being active for less than 2 months. Learn more about those cuts here.

Learn more about the end of Destiny 2’s updates here. Insider Gaming will continue to monitor the story and report any updates as more information becomes available.

How do you feel about this unfortunate news for Bungie? Sound off about this story and all others in our official Discord server. Also, don’t forget to sign up for our weekly newsletter.