Non paywalled link to a follow up article from Jason Schreier. Some more details:
- Revenue from Destiny was 45% below projections as of 2 weeks ago.
- Weak player retention in Destiny 2 following Lightfall.
- Feedback on TFS was “good but not great”.
- Bungie tried a lot of cost cutting measures including freezing hiring, travel expenses, and salary increases.
Looks like a bunch of poor management decisions made before Lightfall caught up with Bungie and unfortunately cost a bunch of good people their jobs. A chain of events I can piece together:
- Bungie decides to cram in another expansion before TFS. Altering their original plan.
- Lightfall pre orders are extremely high after an admittedly cool trailer. Bungie makes profit projections based on this.
- Lightfall is rushed and comes out as it did and is very poorly received.
- Some of the community stops playing after Lightfall. All the folks who just started playing Destiny probably do too.
- Seasonal content is already stale and drives players to stop playing. It needed to be reworked a year ago but Management was pushing Lightfall.
- Server issues exacerbate the player retention issue. People just stop playing because the game doesn’t work.
- State of the Game happens. More people quit.
- TFS showcase kind of falls flat and can’t convince enough people to pre-order.
- Revenue stream dries up.
- Layoffs.