Destiny 3 Not in Development as Bungie Report Points to Mass Layoffs and Marathon Focus
New reports claim Bungie is facing major layoffs while shifting focus away from Destiny, with Destiny 3 not in development and Marathon becoming the main priority.
News by Mymunah Tasnim on May 24, 2026
Times seem to be tough for Bungie right now, particularly for those who have followed events related to Destiny 2 in recent times. After news of the completion of Destiny 2, with no further updates planned in the near future, an additional report by Bloomberg's Jason Schreier has cast yet another shadow of uncertainty over Bungie's future.
As per the report, Destiny 3 is not in any stage of development right now. It means the future of Bungie will take a different turn than expected so far. This is because the sequel to the popular Destiny 2 was supposed to come out soon after the current one ends. However, according to reports, Bungie seems to be prototyping its projects at the moment rather than being committed to something such as Destiny 3.

In addition, the article notes that Bungie will lay off more employees in the coming months.
Coupled with the fact that the studio will be finishing its work on Destiny 2 while having no active project for Destiny 3, this means that the company is facing very unstable conditions regarding its future projects. Another aspect highlighted in the text is that Bungie will focus on Marathon as one of the main titles it is currently developing.
Apart from Marathon, the company has revealed some projects; however, none of them can be compared with Destiny 3. He also elaborated on the reasons behind Bungie’s decision not to start working on Destiny 3 following The Final Shape. As per Schreier, one of the primary reasons was the high cost and associated risks of this game.
In essence, Bungie felt that Destiny 3 was too expensive and risky for them to start working on right away. Now, the fact that Bungie is getting out of a franchise they have relied on for several years to build their reputation without any work done on Destiny 3, can be seen as a particularly troubling issue. Destiny has been an integral part of what defines Bungie, making the whole move all the more confusing without Destiny 3.
The last bit of information regarding Bungie is that there was an incubation project that Bungie took over, which Sony used to create a team similar to Bungie.
It was called “Project Gummy Bears.” Currently, it looks like Bungie has several paths to go down. One can consider the end of Destiny 2, the absence of plans for Destiny 3, the creation of Marathon, various experiments, and layoffs, all of which are happening at once. This is quite the situation.
On top of that, the layoffs might just be another issue that needs to be addressed. Estimates state that hundreds of Bungie employees will lose their jobs as a result of the layoffs. Even though everyone might have been prepared for it, that doesn’t take away from the stress.
At this juncture, the future of Bungie still seems to be evolving in real time, and the absence of Destiny 3 in development eliminates what would seem to be an obvious progression for the company. Marathon, meanwhile, will have to carry more of the burden for the company's future.
And yet, even with all this, there are still those who hold out hope for Bungie's stabilization and recovery. But with Destiny 2 concluding, no development on Destiny 3, the company prioritizing Marathon, and layoffs looming, Bungie's future remains very uncertain.
Editor, NoobFeed
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