In a year that has seen one layoff wave after another across the gaming industry, PlayStation Studios continues to bleed talent, with Bungie the latest to fall victim. The esteemed developer behind the popular MMO shooter, Destiny 2, hasn’t disclosed the scale of the layoffs. However, the ripple effects are still already being felt, with several notable now-former Bungie staff members taking to social media platforms to announce their departures.
The layoffs at Bungie come in the wake of similar reductions across the industry, including Electronic Arts, Ubisoft, Take-Two, and Embracer, which have collectively laid off hundreds, consolidated teams, or shuttered entire studios. Notably, PlayStation rival Microsoft also enacted significant cuts at Halo studio 343 Industries earlier in the year.
Sony’s acquisition of Bungie for $3.6 billion last year was part of a broader acquisition frenzy. Bungie is currently in the middle of working on several projects while helping Sony with its ambitious live-service plans, which by the way, is reportedly not going as well as expected.
Today is a sad day at Bungie as we say goodbye to colleagues who have all made a significant impact on our studio. What these exceptional individuals have contributed to our games and Bungie culture has been enormous and will continue to be a part of Bungie long into the future.
— pete parsons (@pparsons) October 30, 2023
Bungie CEO, Pete Parsons, referred to the day of the layoffs as a “sad day” on social media, acknowledging the massive contributions of the impacted employees to both Bungie’s games and its culture. Their influence, he assured, would endure within Bungie’s halls long into the future.
The layoffs have extended across various departments at Bungie, including the community and social teams, marketing, legal, recruiting, art, human resources, and quality assurance. The cuts have not only affected staff but also the schedule of upcoming releases.
These layoffs are particularly striking given Sony’s significant investment in employee retention at Bungie following last year’s acquisition. Among other things, this included $1.2 billion in deferred payments to employee shareholders, which is conditional upon their continued employment, and other retention incentives. This move came with the assurances made by the now-outgoing PlayStation CEO, Jim Ryan, who, promised that Bungie would retain its creative freedom and multiplatform approach.
The broader context of these layoffs is equally disheartening. The game industry has witnessed a troubling pattern of job cuts, impacting both large and small companies alike. From Epic Games to Telltale Games and Ascendant Studios, the wave of layoffs has been indiscriminate, leaving a trail of seasoned professionals in its wake. Notably, even Sony’s own Naughty Dog studio faced layoffs among its contract Q&A workers as well as the company’s Visual Arts studio.
Furthermore, these events cast a shadow over Sony’s ambitions in the games as a service realm, with Bungie positioned as a central player in that strategy. Questions arise about Sony’s broader strategy and its ability to maintain momentum amidst these setbacks.
For the individuals affected by the layoffs at Bungie, the road ahead is uncertain. Yet, their contributions to the gaming world remain indelible, having helped shape experiences that have captivated millions. As the industry grapples with a handful of changes, the hope is that those affected will find new opportunities where their talents can continue to thrive.
