Daijiworld Media Network - New Delhi
New Delhi, Jun 19: The global video game industry continues to grapple with a prolonged wave of job losses, with around 3,700 verified layoffs recorded so far in 2026 and thousands more expected when unreported cuts and studio shutdowns are taken into account, according to a new report released on Friday.
The report by TradingPlatforms said the actual number of affected employees has likely exceeded 4,000, as several companies have not publicly disclosed the full extent of their workforce reductions.
The findings also highlighted a broader downturn across the technology sector, which has seen at least 1,43,378 job losses worldwide by June this year.
The United States remains the hardest-hit market within the gaming industry, accounting for 2,153 confirmed layoffs, representing nearly 58 per cent of the global total.
Among the biggest reductions, game developer Epic Games, known for Fortnite and the Unreal Engine, eliminated approximately 1,000 positions in one of the largest workforce cuts ever witnessed in the gaming sector.
Meanwhile, Bungie, the studio behind popular franchises such as Halo and Destiny, announced plans to lay off around 400 employees during the summer.
Several other established publishers and developers have also carried out smaller rounds of job cuts throughout the year as companies continue restructuring operations and controlling costs.
France has also been significantly affected, with multiple gaming companies reporting substantial reductions in staff.
Ubisoft announced nearly 680 layoffs spread across several studios as part of a broader organisational overhaul.
Canada has recorded at least 257 layoffs in the gaming sector, with almost half of those coming from Eidos-Montréal.
The Canadian studio reportedly cut 124 positions following the cancellation of a major AAA game project.
The report noted that several companies have gone beyond workforce reductions and have shut down entire studios amid mounting financial pressures.
Beyond gaming, other segments of the technology industry have also experienced significant job losses in 2026.
Cloud computing and Software-as-a-Service (SaaS) companies have collectively eliminated nearly 31,900 jobs, while e-commerce firms have cut close to 21,000 positions.
IT services companies have shed more than 16,700 jobs, and sectors including social media, enterprise software and financial technology have each recorded workforce reductions exceeding 10,000 employees.
The report suggests that ongoing economic uncertainty, restructuring efforts and changing business priorities continue to reshape the global technology and gaming industries.