Bungie Decimated: Sony Lays Off Most of Destiny 2 Team After Final Update

In one of the most dramatic closures in modern gaming history, Sony and Bungie have laid off the majority of the Destiny 2 development team, as well as a number of staff working on the upcoming shooter Marathon. The wave of cuts follows the release of Destiny 2's final major update in June 2026 — an end that Bungie had signaled back in May — and marks the effective shutdown of one of the most iconic live-service games of the last decade. The exact number of employees affected has not been publicly disclosed, but reports from multiple outlets describe the scale as devastating, with language from Bungie framing the cuts as an effort to "align the studio's resources with its current priorities and long-term goals."

Adding to the turmoil, Bungie studio head Justin Truman is reportedly stepping down in the wake of the layoffs, according to Bloomberg journalist Jason Schreier. The news casts a long and uncertain shadow over Marathon, Bungie's next major title, which has already seen some of its team impacted. Ironically, the layoffs come despite a massive spike in Destiny 2 player counts surrounding the game's final update, suggesting the decision was driven by Sony's top-down strategic restructuring rather than any lack of player interest. In a bittersweet footnote to Destiny's legacy, former Bungie staffers revealed this week that the studio once seriously pitched a Destiny dating sim — complete with a full pitch deck — a quirky reminder of the creative ambitions that flourished inside the studio during better times.

Sources