Ghost of Yotei Developer Sucker Punch Hit With Layoffs

Ghost of Yotei developer Sucker Punch has laid off some staff, just a little over a year after the release of its last game.

Aftermath reported that the studio let 26 employees go, just weeks after Ghost of Yotei's DLC and Complete Edition were released on PS5. The studio has roughly 200 employees as it stands. Aftermath shared an email that was sent out to the team from studio leadership, which reveals that "challenges in the market" and changes in the scope of the team for its next project were the deciding factors in the layoffs.

“After carefully observing the challenges in the market and reviewing the team needs for our next project, we've decided to make some staffing reductions. Several positions across Sucker Punch will be eliminated as a result," the email reads.

The note also stated that they will discuss the plans for the studio's future next week.

”We know this is a lot to take in, and we want to assure you that we did not make this decision lightly. We have given this a lot of attention and worked to support our affected colleagues during this transition as well as we can. … There's no getting around that this is a hard day. Next week we will go into more details about the future.”

As of right now, it's unclear what Sucker Punch's next game will be; it does sound like there is another project in the cards based on the studio's statement. Some want a return to Infamous, whether through a collection of remasters/remakes or a brand-new entry. Others want a new Sly Cooper. And of course, there's appetite for more games in the studio's Ghost series. It wouldn't be surprising if at least one of these happens, as new IP with a big AAA budget is becoming harder and harder to justify.

Ghost of Yotei was one of the biggest games of fall 2025, selling 3.3 million copies in its first month. It's also one of the best-reviewed PS5 exclusives to date. It was also expected to come to PC at some point, but unfortunately, that plan was scrapped when Sony opted to move away from PC. The game recently got a Complete Edition, which added a brand-new story DLC and other additional content. It's unclear if this moved any significant copies or if the audience for the game already capped out with its initial release.

The layoffs also come during a tumultuous time for PlayStation, which has been upsetting fans over its controversial shift to an all-digital future starting in 2028. The company will phase out physical copies of games in favor of digital releases, likely beginning with PS6. PlayStation also shuttered Bluepoint, a beloved studio that was best known for high-quality remasters, ports, and remakes such as Demon's Souls for PS5. Additionally, PlayStation attempted to scrap development on Hideo Kojima's next gen game, Physint, until Microsoft swooped in to save it.