Destiny 3 Isn't Happening, Bungie Expected to Be Hit With Significant Layoffs

Bungie is reportedly facing another major round of layoffs, and Destiny 3 is not currently in active development. According to a new Bloomberg report cited by IGN, the Destiny 2 developer is expected to be hit with “significant” layoffs in the near future, creating even more uncertainty around the studio’s future after years of instability under Sony.

The report arrives shortly after Bungie confirmed that Destiny 2 will receive its final live-service content update on June 9, 2026. The update, Monument of Triumph, will mark the end of active development for Destiny 2, though Bungie has said the game will remain playable afterward, in the same way the original Destiny has remained playable.

Most Bungie Developers Are Working on Marathon Instead of Destiny 2

A new report indicates that the majority of the team working at Bungie has been assigned to work on Marathon instead of Destiny 2.

Bungie Is Reportedly Moving Away From Destiny 2, But Destiny 3 Is Not Its Next Step

In its official announcement, Bungie described Monument of Triumph as a sendoff for Destiny 2 and a starting point for what comes next for the studio—which it says involves “incubating our next games.” The update will be free for all players and is meant to make Destiny 2 more welcoming for returning players before active development concludes. Bungie also said its weekly blog posts will enter hibernation after the update, though the studio plans to continue communicating through social media and other channels.

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However, Bloomberg’s report suggests that whatever comes next for Bungie may not be Destiny 3, despite speculation that it could be next in line. According to the report, Bungie still plans to pitch and prototype ideas set within the Destiny universe, but none of those projects have reportedly been greenlit for full production. That means Destiny 3 is not currently lined up as Bungie’s next major project, even with Destiny 2 now entering what is essentially its final stage as an actively supported live-service game.

Instead, Bungie’s current focus appears to be Marathon, the studio’s extraction shooter and its first major non-Destiny release in years. According to IGN’s summary of Bloomberg’s report, leadership at Bungie had previously explored ways to make Destiny 2 more accessible to new players, but the studio ultimately shifted more developers and resources toward Marathon. Bungie recently outlined its plans for Marathon Season 2, which begins June 2, including new PvE content, improved onboarding, and changes meant to make the game less intimidating for newcomers.

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However, that focus on Marathon comes at a difficult time for Bungie and Sony. Sony acquired Bungie for $3.6 billion in 2022 as part of PlayStation’s broader live-service ambitions, but the acquisition has yet to fully pay off. Sony recently reported a $765 million impairment loss connected to Bungie, with losses reportedly tied to the underperformance of Destiny 2 and Marathon.

This is also far from the first round of layoffs Bungie has faced in recent years. The studio laid off 220 employees in 2024, representing roughly 17% of its workforce, while another 155 employees were moved into roles within Sony Interactive Entertainment. At the time, Bungie CEO Pete Parsons mentioned rising development costs, economic pressure, and the studio taking on too much at once as reasons for the shake-up.

For now, Bungie’s future appears to depend on whether Marathon can recover and whether any future Destiny projects can move beyond the pitching and prototyping phase. Destiny 2 will remain playable after its final live-service update goes live, but with no Destiny 3 currently in development and significant layoffs reportedly expected, Bungie appears to be entering one of the most uncertain chapters in its history.