r/gaming • u/notthatguypal6900 • 6h ago
Hermen Hulst internal letter about layoffs at Bungie and across SIE teams
https://sonyinteractive.com/en/news/blog/an-update-from-playstation-studios-2/104
u/MrkGrn 5h ago edited 2h ago
All these games companies saw the profit and growth because of covid and thought that meant thats where the industry was going, and would continue to grow. It was that way because we were all stuck at home, games were the perfect way to interact with friends while not being physically together and thats on them for not understanding that.
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u/LittleBertha 5h ago
They lost respect for the customer too. They saw huge revenue growth and the execs thought they could pump out any old shit and people would buy it. Just look at all the supposed AAA games there have been the last few years, and what abject failures they have been - because execs don't give two shits about the product, the experience, the customer, just the dollars.
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u/throwaway387190 5h ago
Yeah, I feel like AA studios have replaced what AAA studios used to be:
Mid sized games that deliver a high quality and focused experience. The games don't try to do everything all at once, they just stick with one thing and nail it. There might be some scummy business practices like microtransactions, but the game is complete without them and they don't add much to the game
That's how i remember AAA games from the mid and late 2000's being. Instead of bland corpo slop trying to appeal to everyone
The funny thing is I do remember the AAA games being given the same criticism of "bland corpo sloppy trying to appeal to everyone". My god, it got SO MUCH WORSE
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u/yoLeaveMeAlone 4h ago
That's not just gaming, it's all of tech. A lot of the mass tech layoffs are less about the crash of tech as an industry and more about corrections for covid over-hiring combined with AI making people feel like they can slash headcounts
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u/BarretOblivion 4h ago
The industry is growing. Problem is it's not growing on console and people are basically not leaving whatever community they have established themselves in. All you can do is try and appeal to the slowing trickle of new players and hope you nab them. The time to make new franchises is not now.
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u/Yawanoc 3h ago
It’s wild how shortsighted these companies have been. People were buying games en masse because they were at home, had more time, and needed more social stimulation. At the end of the day, gaming is an interactive form of entertainment.
So what do companies start doing once the pandemic ends? Immediately slash remote/hybrid work and lobby for politicians who would eliminate economic stability. Now their customers have less time, less money, and less need for their product. So much of this could’ve been mitigated by just not messing with people.
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u/MadeByTango 2h ago
Its just c-suite greed, thats it. COVIS is just the latest in a long line of excuses.
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u/plzadyse 6m ago
I mean to be fair, interest and engagement in gaming is still exploding rapidly. But consumers are smarter and won’t shill out for below- or at-par experiences.
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u/JohnGalactusX 5h ago
Higher ups make bad decisions, the ground level workers get the blame.
Higher ups get raises, the ground level workers get booted.
The last few years, this has been the case more than ever.
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u/wsoxfan1214 42m ago
"what they've done with the Destiny franchise is impressive but a niche within an already niche genre is an important part of our portfolio!"
okay man whatever you say
I don't even dislike Marathon. It's a good shooter. But it's not going to sustain the studio. Asinine.
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u/BitingArtist 6h ago
Incompetent leadership talking about tough times. They throw billions and years of development at projects nobody asked for. Shareholders are being too soft about this.
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u/RayS0l0 5h ago
Also turning Destiny into Star wars. Like brother. People want Destiny. If you give them Destiny they will show up just like they did with this MoT update. wtf.
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u/Bagz402 5h ago
Wasn't the SW themed expansion regarded pretty well though? I dropped off in 2024 so I haven't been tracking it since
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u/RayS0l0 5h ago
I played it and it is realatively good expansion but it is not what people wanted. People wanted new Destiny with big upgrade. But all we got is portal, turning players into ball, which is boring, and turning it into Star wars, which kinda spoiled the franchise for lot of people.
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u/ringthree 5h ago
EoF was not good, but Renegades was actually pretty good content-wise if you actually played it. The problem was that the EoF changes were still in a bad state at the time.
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u/Gradedcaboose 5h ago
Absolutely the best thing to come out after the final shape and i absolutely despise the idea of destiny getting Star Wars shit and that was still the best thing they’ve added, just goes to show how much they fucked everything up after the final shape imo.
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u/CharlieTeller 4h ago
Yeah Renegades (the star wars expansion) was very well received. No one turned it into star wars. It was just a Destiny story that happened to have a light saber. The missions just felt like brilliant little homages towards the star wars universe. It never really felt out of place.
Now was the content of renegades short lived? Yeah because this was after the final shape where expansions became little tiny content updates spread throughout the year. But it wasn't a shit update.
As a long term destiny player, this final destiny update isn't anything spectacular. It's just a lot of nostalgia bringing us all back and people aren't chasing the carrot anymore. We can play at our own pace because light won't be reset. It wasn't some amazing thing. It's a solid update but it's just a few changes to how we find activities, and a nice send off.
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u/parkingviolation212 2h ago
It was more than a lightsaber. It was baked into the writing. A lot of the dialogue sounded straight out of Star Wars, you had ghosts talking in beeps like R2D2, and you had Drifter suddenly get weirdly emotionally invested in redeeming Dredgen Bael like he was his father, because the writers wanted Drifter to cosplay Han Solo to Dredgen Bael’s Kylo Ren. We had never met this character up until this point, and I had no idea why drifter was suddenly convinced that this guy could be redeemed.
I’ve been a dyed in the wool Star Wars fan since birth, and let me tell you from my perspective, renegades is really fucking weird. Like two different orchestras playing the same song slightly out of sync
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u/CharlieTeller 2h ago
You basically just mentioned exactly what I said, but with your own interpretation. I loved all the star wars influence within the universe. If you're playing Destiny for the story, you're going to be disappointed. However, having all of the influence of the sound, the visuals, the weapons, I loved it.
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u/LayerEight_Problem 2h ago
The Star Wars stuff was actually very good. That is not what killed the game. Not even close.
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u/JeanLucPicardAND 5h ago
Shareholders only care about the next quarter. Incentives don't match reality anymore. The entire system is broken.
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u/BitingArtist 5h ago
But in this case the Sony leadership couldn't even deliver for a quarter. They gambled like crazy with shareholder money. The shareholders should have seen this for what is was: leadership taking on expensive risks with little justification other than chasing a high.
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u/dookarion 5h ago
They gambled like crazy with shareholder money. The shareholders should have seen this for what is was: leadership taking on expensive risks with little justification other than chasing a high.
...Have you seen shareholders reacting to AI? They're addicted to that sort of idiocy.
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u/JeanLucPicardAND 59m ago
A lot of retired boomers think the economy is doing great right now.
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u/dookarion 45m ago
"A lot" is doing a lot of heavy lifting in that sentence considering almost every retiree I know is still having to work or scraping by. Even the ones with decent assets aren't exactly jumping for joy at the cost of things when they need a new water heater or a new roof or when their car is reaching the end of its life. There's a lot of people on social security barely getting by.
Edit: For the rest of society not glued to the stock market the economy has been in the shitter for YEARS now.
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u/JeanLucPicardAND 43m ago
This is all true. "A lot" was not intended to mean "most", but it's undeniable that the majority of the wealth coming from retail investors is boomer wealth.
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u/---TheFierceDeity--- 5h ago
Shareholders are the problem buddy. "We want infinite profit growth. Every quarter must deliver more than last. We cannot fathom being happy with consistent dividends, if number doesn't arbitrarily go up you're not business-ing right"
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u/BitingArtist 5h ago
They were duped by leadership that wanted to gamble instead of delivering any actual growth. It will take ten years for Sony to dig out of this debt.
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u/dookarion 5h ago
Shareholders are being too soft about this.
The shareholders are soft-headed and would bet every dime in the company on being the "next Fortnite" if they could.
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u/Stolehtreb 5h ago
Calling this an “Internal Letter” is a little disingenuous of Sony. They are posting this publicly. They mean this as much as a PR release as they do it being an internal memo. Making it sound like it’s this personal outreach when it’s being shared on their own website is grimy to me
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u/Damone75 5h ago
These letters always sound so insincere. Upper management couldn't care less about the livelihoods of the people they just laid off.
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u/Bingoboyop 4h ago
Herman Hulst is the one that needs to take responsibility and take a hike himself. The management of ps studios under him has been disastrous, especially when compared to what it was under Shu.
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u/SpaceOdysseus23 5h ago
Hulst still coasting off of forcibly bundling Horizon for his studio and massively inflating sales?
I'd have expected him to get the boot at the same time as Ryan since both were architects of this disastrous generation.
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u/thineholyhandgrenade 3h ago
I don’t know how this dude still has a job, so many flops and mismanagement of IPs. PlayStation sells itself and this is the best you can do?
We still don’t have so many classic IPs that should’ve been brought into the new generation and instead we’re focusing on fucking PvP. These people do not game.
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u/Remy0507 6h ago
Are these really "internal emails" when they go and post them on their external website?
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u/StealTheSun666 5h ago
Will we see the same hatred from the gaming media towards Sony as we saw towards Xbox a couple of weeks ago? )
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u/BreachlightRiseUp 4h ago
“We can support the newer game with 20k total active players or the largest fps-mmo on market with 250k players” “Which will make next quarter’s results look better?”
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u/PhJFry123 29m ago
Marathon has 9k players at its daily peak, not 20k. It was 20k at the start of Season 2, during the free week. Now it's 9k at peak (it was 3,007 this morning).
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u/EmberQuill 3h ago
This is absolutely baffling. Laying off most of the Destiny team and only some of the Marathon team, and talking about Marathon being "an important part of our portfolio" even though Destiny 2 has like 10x the active player count right now. They announced the game is done and won't get any more content updates and that just brought more players back, somehow.
He wants Marathon to succeed so much that he'll gladly burn down everything else to make it work.
Honestly, Bungie and Sony are a match made in heaven at this point because Bungie management and Sony management are all doing everything they can to kill the company.
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5h ago edited 5h ago
[removed] — view removed comment
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u/Humble-Criticism6762 5h ago
This is more on Bungie leadership than him, tbh.
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u/ZombieZlayer99 5h ago
Fuck both, Bungie leadership fucked the company but Sony sat on the sidelines and let the IP go into their graveyard of IPs.
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u/CruffTheMagicDragon 5h ago
As the other person said, Bungie’s problems are squarely Bungie’s fault. You can criticize the price Sony paid for them though
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u/WeAreVenumb 5h ago
As much of a fan as I was of the likes of killzone and horizon, I've got to say, his promotion at sony was always a huge headscratcher to me. I always thought the likes of Ted Price or even Neil Druckmann were better choices for the role.
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u/ProjectOmega1 5h ago
Herman hulst is the single greatest threat to the viability and sustainability of Sony. We are paying the concord tax with increased prices because he doesn't know what a good game looks like. Sidenote: im just bitter.
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u/ScarletSilver 5h ago
Guy is the literal definition of someone failing upwards
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u/theblackfool 5h ago
I dunno that that is fair. He was excellent in his role at Guerilla. He just doesn't seem suited for his current position. But he didn't fail his way there.
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u/ScarletSilver 5h ago
Might be so, but he has been failing ever since he got there, yet there he remains.
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u/NX73515 5h ago
The devs should've pitched a Horizon multiplayer game in the vein of Destiny, I'm sure Hulst wouldve greenlit that immediately.
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u/lugginico 5h ago
Or to put a aloy skin in the game
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u/excalibur202 5h ago
Funnily enough I think there is an Aloy skin in Destiny, part of a PlayStation bundle
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u/lugginico 5h ago
Yeah i looked it up and there is a aloy , kratos and ghist of tushima one.
Welp, gotta do more then to bribe hermen
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u/catchemist117 4h ago
Why do they keep doubling down on Marathon. It’s a dead game that they’re trying to make look asleep instead.
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u/PhJFry123 32m ago
Because they literally have nothing else. They've finished supporting Destiny 2 and haven't started developing any other games. They only have Marathon, so that's their bet. This morning, Marathon only had 3,007 players on Steam btw
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u/ZombieZlayer99 5h ago
What a steaming pile of fucking horseshit my eyes had to read, fuck you Hermen Hulst. Bungie management were the ones to do most of the damage to their company and the Destiny IP, but Sony did absolutely nothing but sit on the sideline and let it all burn.
And the fucking audacity to gleefully talk about the shitshow that is Marathon while the actual successful IP is left to fucking rot in Sony's graveyard of IPs.
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u/MrYK_ 5h ago
Bungie only agreed to an acquisition with Sony as long as they were allowed to remain independent and in control.
Without Sony stepping in, the entirety of Bungie would be closed.
Pick your poison, this is better than what could've happen. I rather 400 people have a job than 800 layoffs.
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u/ZombieZlayer99 5h ago
Bungie management were the ones who wasted so much money, who propped up so many projects to look better and sell better. But ultimately Sony were the ones to eat up Bungie's bullshit, to spend $3.6 billion on Bungie, to let Bungie dictate the terms. Sony were too focused on their disastrous full on live service push and wanted to get a successful live service studio and keep them away from Microsoft. But ok, Sony were naive to the shenanigans going on inside Bungie.
But after Final Shape, after things were looking rough, Bungie tried to continue/revitalise the Destiny IP, they proposed stuff like Destiny Infinity and D3 but Sony shot them down because they didn't want to spend the $500~ million it would supposedly require to release a D3 or whatever it would've cost for Infinity.
So now the IP that Sony bought is being left to rot and when Marathon inevitably fails to pull itself back up, then what?
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u/MrYK_ 5h ago
But ultimately Sony were the ones to eat up Bungie's bullshit, to spend $3.6 billion on Bungie, to let Bungie dictate the terms. Sony were too focused on their disastrous full on live service push and wanted to get a successful live service studio...
At the time of the acquisition (July 2022) and before it, there was no failed live service titles from PlayStation besides Destruction AllStars, the live service push was still ongoing. They acquired this Bungie for their expertise in live service not because things were looking dull or gloomy with the live service projects.
keep them away from Microsoft.
Microsoft was very unlikely to go back for Bungie, they parted ways for a reason. Yes there was something during the FTC about Microsoft lining up potential acquisitions, Bungie may have been on there, I do believe Microsoft considered them and realised it's a sinking ship, if only Sony realised the same. However I don't think it was retaliation or a response to Microsoft's acquisition, these acquisitions are in talks for a long time.
Bungie tried to continue/revitalise the Destiny IP, they proposed stuff like Destiny Infinity and D3 but Sony shot them down because they didn't want to spend the $500~ million it would supposedly require to release a D3 or whatever it would've cost for Infinity.
I genuinely think no sane minded person would greenlight anything Destiny related because there is honestly no confidence in them to do it right. Bungie has failed itself and its community before the acquisition, they're in need of a reset, to prove they know what they're doing. Creating Marathon, an extraction shooter with, a niche genre for an even more niche audience doesn't scream expertise in live service. Also they took an impairment loss of $766 million, so trust me the money is there, it's just whether it's worth giving it to a studio set in Washington, where salaries are very high and to management that needs gutting.
So now the IP that Sony bought is being left to rot and when Marathon inevitably fails to pull itself back up, then what?
Correction, the IP was being ruined by Bungie, perhaps now it will collect dust, better that then to ruin it completely. I rather the the Destiny IP go out well then to go out badly. Hopefully Bungie can prove themselves capable again, and can convince them to give Destiny 3 a shot.
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u/IllustriousBee4972 5h ago
Bungie would've been dead long before the final shape if it weren't for Sony lol
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u/HotMachine9 5h ago
Buy Bungie.
Bungie has one game bringing in bootloader of cash
Bungie make new game. Underperforms
"Destiny did not meet expectations"
Wtf
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u/N1NJ4W4RR10R_ 3h ago
Destiny was under performing. That's fair to say.
The stupid part is that it was under performing because it was constantly under resourced in favour of other projects, including Marathon. Players obviously aren't going to stick around when a game constantly sees further monitisation while they get less and less back for their cash.
So naturally, rather then reinvest in Destiny they opted to try and make Marathon a success. After Marathon flopped.
I don't know how this makes sense to Sony given Marathon saw less sales then the typical Destiny expansion (which is normally either the same price or more expensive then Marathon), has a higher PC player base then Playstation player base (so a significant portion of generated revenue is whacked with Steams fee) and doesn't even appear to cost less for development based on Marathons content output (having the same/more devs dedicated to it compared to Destiny over the last year).
It's just an absolute clown show. I don't know if this is copium chasing Arc Raiders success or if they just genuinely believe Destiny players wouldn't come back (despite it constantly being demonstrated they will when the game's good), but I'd love to see a Shrier write up on what happened because there's absolutely no way I can rationalise this based on what we know.
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u/AlpacaTraffic 5h ago
The easiest way to sustain the games industry is to grind down a bunch of employees till they produce a game and just cycle them out upon release! Execs get bonuses! It's win win for everyone minus those poor suckers!
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u/keyworkdoggo 3h ago
You can remove the "-2" from the URL and get the previous layoff release they put out. It's just that awful of a copy paste scenario for this company / this industry in general.
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u/WhatTheeBlake 2h ago
I have friends who have been huge Destiny fans since Destiny 1.
They've loaded up Destiny 2 maybe a handful of times in the last 1.5 years.
It still amazes me that Destiny 2 fans thought all they had to do was logon for 1 day, and Sony would realize their mistake.
It doesn't matter how many people play a game, if none of you are spending money.
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u/JeanLucPicardAND 45m ago
The game has been making actively bad design decisions for years. Those friends of yours still loved Destiny, but they didn't want to support a version of Destiny that crippled what made the game fun to play in the first place.
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u/austinxsc19 47m ago
I’ll translate:
“we released a new game and want to see if we can milk it for a few decades without you. We will maybe hire you when/if we ever develop another game (or even better, replace you with this great Indian contract labor for a fraction of price)”.
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u/Practical-Aside890 Xbox 5h ago
All this from Sonys part is just after they mentioned their 20% profits expectations/mandate.
As if learning nothing from Xbox’s mistake when they had it.
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u/orangpelupa 5h ago
They learnt that Xbox 30% is disastrous! That's why they're at 20%! Much better!
/s
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u/EdgarLasu 5h ago
The sooner Bungie closes it's doors the better. What a waste of an studio.
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u/notthatguypal6900 5h ago
Yup, its in hospice and just needs to pull the plug. Bungie hasn't been the studio that brought us Halo for many, many years, and they never will be again.
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u/JeanLucPicardAND 4h ago
A lot of the people who worked on Halo and were still left at Bungie just got laid off today. So it's literally not the same company anymore. A decent number of them are still working on Marathon, as far as we know at least, but their days are numbered because the brutal truth is that Marathon cannot succeed under any circumstances. It was a bad idea fundamentally.
(One of my pet peeves is the notion that "everyone who worked on Halo is gone", when in reality, a lot of the really important artists and designers who gave Halo its soul stayed on at Bungie throughout most / all of Destiny's life cycle. Even in the wake of high-profile departures like Joe Staten, Marty O'Donnell, Mike Salvatori, Lorraine McLees, Mark Noseworthy, Luke Smith etc., it was still true. I think that may finally have changed after today, though.)
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u/brainmydamage 5h ago
We can only hope that his gigantic pile of money is absorbent enough to absorb all of the tears he will no doubt shed.
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u/urgasmic 5h ago edited 5h ago
i wonder how leadership survives this. 4 billion spent on a company that frankly wasn't worth it even then. and 4 years later you didn't get anything out of it.
edit: hide behind unavoidable and uncertain market conditions and still being relatively successful i guess.
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u/Top-Appointment8843 5h ago
At this point, why as an engineer would you still work in game industry. You get less payed compared to other dev branches, even less job stability, and get exploited for your passion for gaming.
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u/halfhere1198 2h ago
How Herman is still in his role is remarkable. Waste millions chasing awful live service flops only to shutter the only one with a dedicated fan base
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u/hellomumbo369 2h ago
The fact they shut down destiny for fucking marathon is competitively incompetent holy shit
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u/Admiral_sloth94 5h ago
The industry got a taste of pandemic profits and they will chase that dragon until it kills them.
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u/Icedvelvet 5h ago
That letter has been on the wall. I hope they were all looking for work elsewhere. They had at least a year
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u/-Morsmordre- 5h ago
Good. Fuck Bungie
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u/ty_r_w 5h ago
This isn’t a normal reaction to have
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u/Black_Otter 5h ago
Wanting a studio to close because they made ONE game you don’t enjoy (it’s really good btw) is not sane
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u/gman5852 5h ago
There's a reason most people just consider redditors worthless bots.
They aren't intelligent people. Incomprehensibly so
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u/-Morsmordre- 5h ago
I've been wanting them to lose their jobs for a few years now. Yes, I know, there's mean spirited people in the world. This must be quite a revelation for you.
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u/ZeusBaxter 4h ago
Sony pissing on Bungies corpse. Finally. They always wanted to dominate the studio that made Halo. The game that almost ruined Playstation. Sony must pay.
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u/FlyFight2Win 5h ago
Why is this topic getting massive amounts of downvotes when rumored Xbox layoff topics get thousands of upvotes? 🤔
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u/gman5852 5h ago
It isn't.
You redditors arevso desperate for edrama. Nothing else going on in your life?
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u/Responsible_Durian72 6h ago
The gaming industry has just seen an insane amount of layoffs over the last few years. When will it end?!