In a surprising shake-up, Sony has initiated layoffs at its San Diego-based PlayStation Visual Arts studio and PS Studios Malaysia, as confirmed by a Kotaku report and LinkedIn testimonies from former employees. The affected workforce numbers remain undisclosed, fueling speculation about the scale of this restructuring.

Reports indicate that staff were informed earlier this week that March 7 would mark their final day of tenure. Those laid off include developers who had been involved in various projects, such as a recently canceled live-service game at Bend Studio. Notably, Visual Arts has been a pivotal collaborator with PlayStation’s first-party studios, contributing to prominent titles like The Last of Us Part 1 and 2 remasters.

LinkedIn activity reveals a cluster of developers confirming their exit from Visual Arts, and at least one from PS Studios Malaysia, attributing the layoffs to “multiple project cancellations.” This marks the second instance of staff reductions at Visual Arts in as many years, with a previous wave occurring in 2023.

The current number of employees retaining their positions at Visual Arts remains uncertain, and the focus of any ongoing projects is shrouded in mystery. Sony has yet to provide an official response regarding these developments.

These layoffs are part of an unsettling trend within the gaming industry, traced back to 2023, when over 10,000 developers faced job cuts. This figure surged past 14,000 in 2024, and, continuing into 2025, the exact numbers remain elusive due to numerous studios opting not to disclose the extent of their layoffs.

As the gaming world grapples with these challenges, the ripple effects of such corporate decisions are felt keenly by the affected individuals and the projects left in limbo. For further insights and updates, follow senior reporter Rebekah Valentine on BlueSky @duckvalentine.bsky.social or send your story tips to rvalentine@ign.com.

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