Bungie Reportedly Plans Major Layoffs as Destiny 2 Winds Down

Bungie is reportedly preparing for significant layoffs as the studio closes active development on Destiny 2 and shifts resources toward Marathon, according to Bloomberg. The report states that Bungie has not greenlit Destiny 3, leaving the company without a confirmed follow-up project for much of the current Destiny 2 development team.

The reported restructuring follows Bungie’s confirmation that Destiny 2 will receive its “final live-service content update” on June 9, 2026. In a blog post published May 21, 2026, the studio stated, “It has become clear that after The Final Shape, we have reached the time for our shared worlds, and Destiny, to live beyond Destiny 2.”

The report says Bungie plans to continue pitching projects set in the Destiny universe, but none have entered production.

Some developers have already reportedly moved to Marathon. The extraction shooter has become Bungie’s primary focus following declining Destiny 2 engagement and weaker-than-expected expansion performance.

Sony and Bungie Face Growing Pressure After Marathon Losses

The situation adds pressure to Sony Interactive Entertainment’s $3.6 billion USD acquisition of Bungie in 2022, which was part of PlayStation’s broader expansion into live-service gaming. Bungie also consulted on several PlayStation live-service initiatives, including The Last of Us Online, which was later canceled after discussions around the long-term demands of supporting a live-service title.

Sony has since absorbed multiple financial setbacks connected to Bungie.

Reports previously linked Destiny 2 underperformance to a $204M impairment loss in 2025. Sony also recently disclosed a $765M impairment loss tied to Bungie-related assets following Marathon’s release earlier in 2026.

The reported layoffs would follow Bungie’s previous workforce reductions after The Final Shape launched, when the studio reportedly cut roughly 17% of its staff. Concerns surrounding Bungie’s future have also increased after Sony shut down Bluepoint Games earlier in 2026. The studio closed without releasing a first-party PlayStation title under Sony ownership.

Meanwhile, Bungie has outlined plans to keep Destiny 2 operational through permanent activities and system updates.

The final update restores the original Director interface, refreshes raid and dungeon rewards, adds permanent Pantheon content, and revives Sparrow Racing League. Seasonal events such as Festival of the Lost and Guardian Games will be retired, with rewards becoming available through engrams at a Monument of Triumph vendor.

The developments mark a major turning point for one of gaming’s most established live-service franchises. Bungie now faces pressure to stabilize Marathon while deciding whether the Destiny universe will continue beyond Destiny 2.