Bend Studio lays off 30% of the team in a new cost-cutting measure

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The crisis of AAA games strikes another studio. The Bend Studio, known for developing Days Gone, carried out a round of layoffs that affected approximately 30% of its workforce in June 2025. The layoffs impacted multiple sectors, including key areas such as development, design, and technical support, according to sources close to the studio.

The cut comes amid a series of internal restructuring and strategic reviews promoted by Sony Interactive Entertainment, to which the studio is subordinate. The official justification points to the need to "adjust the operational structure to the current industry scenario," facing canceled projects or those with lower-than-expected returns in 2024 and 2025. The studio did not confirm the exact number of affected professionals.

This move is another reflection of the instability surrounding the AAA development market, which continues to be pressured by inflated budgets, long production cycles, and an increasingly selective audience. In 2025 alone, other companies such as Ubisoft, EA, and Embracer Group had already announced cuts or project closures, reinforcing the trend of cost reduction and focus on IPs with a higher guaranteed return.

Days Gone, released in 2019, was the last major title from Bend Studio. Despite its loyal fan base and reasonable sales performance, the game did not receive the same critical reception as other exclusive franchises from PlayStation Studios, such as The Last of Us or Horizon Zero Dawn. A second game in the franchise was reportedly rejected by Sony in 2021, leading the studio to focus on new intellectual properties — none of which have been officially revealed at this time.

“Our focus remains on quality and innovation, even in the face of difficult adjustments,” said a representative from Bend Studio in an official statement. “We are committed to our players and the future of ongoing projects.”

Sony's Bend studio, which canceled a live-service game earlier this year, is laying off 30% of staff today (around 40 people), Bloomberg News has learned. The studio has been spinning up a new project following the cancellation.

— Jason Schreier (@jasonschreier.bsky.social) June 10, 2025 at 15:12

While some studios continue to announce new releases and invest in expansions, the case of Bend Studio is further evidence that the traditional AAA development model requires revision. Uncertainty looms over what the next step for the remaining team will be and whether Sony will keep the studio as a creative pillar in the long term.

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