One of Bungie’s incubation projects will continue with many members of its development team, only at a new studio that is being spun off by PlayStation.

Bungie has been hit with another significant round of layoffs, with 220 people being laid off and a couple hundred more roles being shifted out to PlayStation- though that’s not the extent of the changes that the studio is bringing into effect.

CEO Pete Parsons has announced in an update published on the studio’s website that Bungie and PlayStation are spinning off a new first-party studio, which will take over development of one of Bungie’s incubation projects- a new science-fantasy action IP.

As per journalist Jason Schreier, roughly 75 people will be moving from Bungie to this new studio. Details on this project are currently scant, but past reports have suggested that it’s being developed under the codename Gummy Bears, and is a team-based action title with a lighthearted and comedic tone.

Further details on the project and the new studio itself are currently unavailable, but presumably, Sony will be making official announcements regarding the same in due time. Stay tuned for more updates.