Sony Layoffs Slash Bungie Workforce as Destiny 2 Team Dissolved

Bungie has undergone one of the largest workforce reductions in its history after Sony-led layoffs eliminated hundreds of positions across the studio, following the announcement that Destiny 2 would no longer receive ongoing live content development. The cuts significantly reshape the company and leave its future centered largely on Marathon.

Official filings submitted under Washington state’s WARN Act show that at least 292 Bungie employees were laid off, with the effective date listed as July 9. The figure does not include employees outside Washington or affected contractors, meaning the total number of job losses is expected to be higher.

Sources familiar with the restructuring indicate that nearly the entire Destiny 2 development team has been dismissed, with only a possible one or two exceptions. While some developers had previously transferred to Marathon before the layoffs, those moves were unrelated to the latest job cuts. One source described the impact simply by saying, “It’s everyone.”

The layoffs also affected portions of the Marathon development team, along with some Sony Interactive Entertainment staff assigned to support Bungie. Contractors working on both Destiny and Marathon were also impacted. In Destiny 2’s case, contractors had been preparing to test and implement the game’s latest hotfix, but it is now unclear whether that update will ever be released due to uncertainty over who remains available to complete the work.

The leadership structure at Bungie has also changed. Justin Truman, who succeeded Pete Parsons as studio head, has stepped down. Reports also suggest Bungie co-founder Jason Jones has departed, while there has been no update regarding Destiny 2 director Tyson Green. These departures are reportedly tied to Sony cash-out agreements established during Bungie’s acquisition rather than traditional layoffs, as many longtime executives reached vesting milestones this month.

Poria Torken has been appointed as Bungie’s new studio head. Formerly the company’s Vice President of Operations, Torken previously worked at Guerrilla Games under Herman Hulst before joining Bungie roughly a decade ago. Former Bungie community manager Liana Ruppert, who has been publicly critical of the company’s leadership since leaving, described Torken as “a good man.”

Despite the restructuring, Marathon remains in active development. Although some team members working on the project were laid off, director Joe Ziegler is reportedly still leading development. In the layoff notice, PlayStation chief Herman Hulst said Marathon “remains an important part of our portfolio” and confirmed Sony would continue supporting the title following what he described as “the strong foundation established in seasons 1 and 2.”

The notice also stated that Bungie’s other projects currently in incubation remain several years away from release. However, those initiatives have not yet entered full production, and no new projects have reportedly received official approval. With the Destiny 2 team largely eliminated, any immediate prospect of a new Destiny sequel has effectively disappeared.

While Bungie continues to operate, the sweeping layoffs leave the studio relying primarily on Marathon as it navigates one of the most significant restructurings in its history.