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Reading: Sony Exec Calls for Greater Accountability at Bungie
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Gaming

Sony Exec Calls for Greater Accountability at Bungie

Highlights

  • Sony stresses budget oversight at Bungie.

  • Destiny 2 faces player count, revenue dips.

  • Totoki to steer Bungie's business improvements.

NEWSLINKER
Last updated: 21 February, 2024 - 11:24 am 11:24 am
NEWSLINKER 1 year ago
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In the financial aftermath of Sony’s acquisition of Bungie, PlayStation chairman Hiroki Totoki has called for more discipline in the game studio’s development budgets and schedules. The acquisition, finalized in January 2022, positioned Bungie to enhance PlayStation’s portfolio with its expertise in live service games. Bungie was meant to continue as an independent entity under Sony, preserving its multiplatform approach and self-publication capabilities. The partnership was rooted in mutual support, with Sony backing Bungie’s aspirations to expand into a global multimedia entertainment company.

Contents
Emerging Tensions and Business ChallengesCorporate Expectations and Studio Performance

Emerging Tensions and Business Challenges

However, recent reports hint at growing tensions between Sony and its subsidiary. Bungie has seen a significant drop in Destiny 2 players and a 45% shortfall in projected revenues. The studio’s morale has been hit by layoffs and a potential end to its operational independence is looming. Such developments suggest the partnership may not be as seamless as initially portrayed.

Corporate Expectations and Studio Performance

Totoki has acknowledged a disconnect at Sony Interactive Entertainment, where employees grasp their roles but not how they contribute to broader targets like growth and profit. He aims to foster clarity and self-realization among staff regarding the company’s direction and their involvement in achieving key objectives. His remarks imply a desire to unify Sony’s business approach, ensuring that all teams are working toward common goals.

During his visit to Bungie, Totoki admired the studio’s vibrant creativity and mastery in live service gaming. However, he also noted opportunities for improvement in business operations, particularly in expense management and meeting development deadlines. His discussions with Bungie management focused on finding solutions to align the studio’s creative talents with Sony’s business discipline.

As Sony’s leadership transition approaches, with Totoki stepping into the interim CEO role, shifts in management style are likely. Despite changes at the helm, the need for Bungie to navigate its operational challenges effectively remains crucial, especially given the negative fallout from recent layoffs and delays in Destiny 2’s expansion release.

Bungie’s handling of staff reductions and the postponement of Destiny 2’s expansion to June 2024, into the next fiscal year, have strained its reputation. Employee concerns over additional layoffs and an extended gaming season with sparse content exacerbate the situation. Nevertheless, the upcoming Helldivers 2 game, another Sony title, provides a silver lining for the conglomerate amid Bungie’s difficulties.

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