Destiny 2 Developer Bungie Announces Major Layoffs: 220 Employees Affected

a person firing its employees

Bungie, the renowned developer behind the popular FPS franchise Destiny 2, has announced another round of layoffs.

This unsettling news comes directly from Pete Parsons, Bungie’s CEO, who revealed that the company is laying off 220 employees, which represents 17% of its total workforce in his latest blog.

This significant reduction in staff will affect all levels of the organization, including management and senior leadership positions.

In addition to these layoffs, 155 more Bungie employees will be transitioning to Sony over the next few months as part of the company’s restructuring efforts.

This isn’t the first time Bungie has faced layoffs in recent months. Back in October 2023, the company let go of nearly 100 employees, representing 8% of its workforce at that time.

These successive rounds of layoffs highlight the ongoing challenges Bungie has been facing in maintaining financial stability.

Why is Bungie Implementing These Layoffs?

Pete Parsons described these layoffs as an “unmistakable and challenging decision” that was necessary due to several factors impacting the studio. The key reasons he mentions:

  • Rising Development Costs
  • Constant Shifts in the Industry
  • Global Economic Slowdown

However, there’s more to the story. The commercial failure of the Destiny 2: Lightfall expansion in February 2023 was a major blow to Bungie’s finances. The expansion did not meet sales expectations, putting additional strain on the studio’s resources.

Even though the latest expansion, The Final Shape, was successful, it did not stop them from layoffs for sustainable business. Parsons stated that the layoffs were essential to “refocus our studio and business with more realistic goals and viable financials.”

What’s Next for Bungie and Its Future Projects?

While the layoffs are undoubtedly a setback, Bungie still retains over 850 staff members dedicated to working on new projects. Here’s what lies ahead for Bungie:

1) Destiny 2

Destiny 2
(Credit: Bungie)

Despite the setbacks in recent expansions, Bungie remains committed to expanding and supporting its flagship title, Destiny 2. The studio continues to develop new content and updates to keep the game’s player base engaged and excited.

2) Marathon

Marathon Reboot
(Credit: Bungie)

Development on Bungie’s new IP, Marathon, is also not affected by the layoff. It is a reboot of the classic sci-fi first-person shooter series originally developed by Bungie in the mid-1990s. The original Marathon trilogy was a trailblazer in the first-person shooter genre, known for its rich storytelling and innovative gameplay. Christopher Barrett, the game director, emphasizes that while Marathon is not a direct sequel to the original series, it maintains ties to its roots with plenty of nods for longtime fans. With full cross-play and cross-save support, Marathon is set to be one of the most anticipated games of 2024.

3) New Sci-Fi Action Game with PlayStation

In addition to its core games, Bungie is collaborating with PlayStation Studios to develop one of its incubation projects into a new studio under the PlayStation banner. Over 75 employees from Bungie (as per Bloomberg) are joining this joint venture, which is said to be “an action game set in a brand-new sci-fi universe.

How Do Employees React?

Even though Pete Parsons painted the rosy picture about the layoffs, employees have different tales to tell. Ex-employee Liana Ruppert, in particular, has dropped serious accusations against the CEO.

She alleges that since the acquisition in July 2022, Pete has purchased an astonishing 24 vehicles from an auction site, amounting to $2,409,550 in expenses, presumably funded by what she calls “the giant Sony payout.”


For more information, visit the official Bungie announcement. And remember to subscribe to Gaming Foodle for more news!


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