Media Molecule reportedly faces layoffs [UPDATED]

Word of layoffs at Media Molecule comes after the company ended support for Dreams in September 2023 and was supposedly working on something new.

Image via PlayStation Studios

UPDATED 10/24/2023 @ 9:53 a.m. PT: Media Molecule has put out a direct statement that confirms layoffs are happening, though it adds that those devs impacted will be provided with support throughout the process. The full statement can be read below:

Media Molecule's statement on the layoffs, including providing support for employees affected.
Media Molecule provided a statement confirming layoffs and announcing that employees affected would receive support throughout the process.
Source: Media Molecule

Original Story: It looks like PlayStation Studios and Dreams developer Media Molecule is the latest game studio facing layoffs in a year that has been particularly full of them. Sources claim that around 20 developers were let go from the total 135 staff at the company. It’s unknown if this will affect a new game Media Molecule was said to be working on following the end of live support for its creative title, Dreams.

The supposed layoffs happening at Media Molecule were apparently announced in an internal meeting at the company, as reported by Sports Illustrated’s GLHF. According to GLHF’s sources, the developer was expected to cut 15 to 20 percent of its staff. It is also unknown at this time what kind of provisions and severance would be provided for those laid off.

Media Molecule logo
Media Molecule has had a run of bad news that has seemingly culminated in layoffs of around 20 developers at the studio.
Source: Media Molecule

This has been the latest in a string of unfortunate news for Media Molecule that began earlier this year with co-founder and former studio lead Kareem Ettouney leaving the group. It wasn’t long after that Media Molecule announced it would be ending live support and new updates for Dreams. Even so, Media Molecule provided optimism in adding that the studio was working on a new project and was shifting resources from Dreams. Nonetheless, another of Media Molecule’s co-founders, Mark Healey, also left the studio shortly after the Dreams news.

It looks to have been a rough year for Media Molecule and the reported layoffs just seem to be adding to the pile. With Media Molecule’s new project not even teased yet, we’ll be watching to see what comes next for the studio, good or bad. Stay tuned.

Senior News Editor

TJ Denzer is a player and writer with a passion for games that has dominated a lifetime. He found his way to the Shacknews roster in late 2019 and has worked his way to Senior News Editor since. Between news coverage, he also aides notably in livestream projects like the indie game-focused Indie-licious, the Shacknews Stimulus Games, and the Shacknews Dump. You can reach him at and also find him on Twitter @JohnnyChugs.

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