Sony has recently conducted layoffs affecting an unspecified number of employees at its Visual Arts studio in San Diego and PS Studios Malaysia, as reported by Kotaku and corroborated by former employees on LinkedIn.

According to Kotaku, the affected staff were notified earlier this week that their last day would be March 7. These layoffs included developers who had worked on various projects, including a recently canceled live-service game at Bend Studio. Visual Arts, known for its art and technical support, has collaborated extensively with PlayStation's first-party studios, notably on The Last of Us Part 1 and 2 remasters.

IGN has identified several developers on LinkedIn who confirmed their layoffs from Visual Arts and at least one from PS Studios Malaysia. One former Visual Arts employee mentioned that the layoffs resulted from "multiple project cancellations."

This marks the second round of layoffs at Visual Arts within two years, following another wave in 2023 that also impacted an unknown number of employees. It remains unclear how many staff members are left at Visual Arts and what projects the studio is currently working on. IGN has sought comment from PlayStation.

These layoffs are part of a broader trend of job cuts and project cancellations within the gaming industry, which began in 2023. That year saw over 10,000 game developers laid off, a figure that increased to over 14,000 in 2024. In 2025, although the exact numbers are less clear due to fewer studios reporting the full extent of layoffs, the trend has continued.