Report: Bungie Could Cut 50 Percent of Staff After Destiny 2 Ends and Marathon Underperforms

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Bungie Could Cut 50 Percent of Staff After Destiny 2 Ends and Marathon Underperforms

Bungie may face layoffs affecting up to 50 percent of its staff in summer 2026, according to journalist Sylvain Trinel. Here is what led to the crisis and how it fits into the wider industry downturn.

French journalist Sylvain Trinel has reported that Bungie may be preparing for one of the largest layoffs in its history.
According to his post on X, the studio behind Destiny and Marathon could cut at least 50 percent of its workforce.
With Bungie’s last known headcount at around 800 employees, this would mean approximately 400 jobs eliminated.

Trinel emphasized caution, but the scale of the rumor has shaken the community.
There is no official confirmation from Bungie or Sony, but the surrounding context paints a bleak picture.

Table of Contents

Why Is Bungie Facing Possible Layoffs

The rumored layoffs stem from two simultaneous crises:

  • Destiny 2 has reached the end of its live‑service lifecycle
  • Marathon failed to meet commercial expectations

These two events collided at the worst possible time, leaving Bungie with hundreds of developers and no approved new project to move them onto.

What Happened to Destiny 2 and Destiny 3

In May 2026, Bungie confirmed that Destiny 2 would receive its final live‑service update on June 9, 2026, ending nearly twelve years of continuous support.

Key points:

  • Destiny 3 is not in active development
  • Sony did not approve the project
  • Large portions of the Destiny 2 team were left without assignments

Destiny 2 remains playable, but its development pipeline has effectively shut down.

Why Did Marathon Underperform

Marathon, released in March 2026, was Bungie’s first new franchise since 2014.
Despite:

  • A $40 price point
  • Positive reviews
  • 1.2 million copies sold in three weeks

It did not meet Sony’s commercial expectations.

The game’s extraction‑shooter format struggled to retain players, and revenue projections fell short.

How Much Has Sony Lost on Bungie

Sony’s financial filings reveal the scale of the problem:

  • $565 million impairment on Bungie assets in Q4 FY2025
  • $201 million impairment in Q2 tied to Destiny 2’s decline

Total losses: approximately $765 million since acquiring Bungie for $3.6 billion in 2022.

These impairments strongly suggest Sony has lost confidence in Bungie’s near‑term output.

How Does This Fit Into the Industry Layoff Wave

Trinel described the broader situation as a “bloodbath” across the industry, with July 1 flagged as a date to watch.

Other studios reportedly at risk:

  • Ninja Theory
  • Double Fine
  • Compulsion Games

All three are allegedly negotiating with Microsoft to become independent to avoid closure.

Meanwhile:

  • Ubisoft has already laid off hundreds of employees by 2026
  • Multiple publishers are restructuring
  • Live‑service failures are piling up

The industry is under severe financial pressure.

What Happens to Bungie’s Workforce Now

Around 400 employees are currently assigned to Marathon.
But:

  • Destiny 2’s shutdown leaves many developers without a project
  • Marathon’s uncertain future limits internal absorption
  • No new Bungie projects have been approved by Sony

If the layoffs occur at the rumored scale, Bungie’s workforce could shrink to its smallest size in more than a decade.

The studio’s future direction remains unclear.

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