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- The PlayStation Visual Arts team has recently been hit with layoffs following many PS5 game cancellations.
- The layoffs reportedly include staff that worked at Bend’s canceled live service title, but they are even more widespread than that.
- These layoffs are the result of Sony’s attempt to restructure its US game development operations to reduce expenses.
The post-Covid era has been a tragic tale for gaming, with waves of layoffs across Microsoft and Sony over the years since. However, 2025 was projected to be a more stable year after a rough last 12 months for PlayStation, but things don’t seem to be getting better.
Now, a new report suggests that the PlayStation Visual Arts team has been struck with layoffs following the cancellation of multiple live service PS5 projects this year. These dismissals also include staff that worked at Bend Studio’s recently canned live service game.
Why it matters: Multiple waves of layoffs for PlayStation studios this year are certainly not a good sign for things to come, especially after the conglomerate already closed multiple studios and canceled projects since 2024.
As reported by Kotaku, the layoffs affected the PSVA team, which provided motion capture, art, and animation support for major first-party studios. These developers also worked with Naughty Dog on The Last of Us remasters and other projects.
The layoffs today hit hard. PSVA let go of developers with decades of subject matter expertise; talent that will be extraordinarily difficult to recoup.
-Former PlayStation Visual Arts Project manager, Abby LeMaster.
However, a source informed the site that these layoffs are ‘more widespread’ than just affecting the PlayStation Visual Arts staff. These firings happened because Sony attempted to shed its US game development operations due to high expenses.
NetEase also joined this trend in 2025 by divesting dozens of its foreign studios, including closures and sellouts, to pull away from the Western market.
Do you think these waves of layoffs will stop affecting notable PlayStation studios for the rest of the year, or are we in for a major shift in the industry? Let us know your thoughts in the comments below, or join the discussion on the Tech4Gamers forum.
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Shameer Sarfaraz has previously worked for eXputer as a Senior News Writer for several years. Now with Tech4Gamers, he loves to devoutly keep up with the latest gaming and entertainment industries. He has a Bachelor’s Degree in Computer Science and years of experience reporting on games. Besides his passion for breaking news stories, Shahmeer loves spending his leisure time farming away in Stardew Valley. VGC, IGN, GameSpot, Game Rant, TheGamer, GamingBolt, The Verge, NME, Metro, Dot Esports, GameByte, Kotaku Australia, PC Gamer, and more have cited his articles.
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