Double Fine Cuts Staff After Xbox Split
*Double Fine, the studio behind Psychonauts 2, has begun layoffs weeks after separating from Microsoft.*
Double Fine Productions is laying off employees following its divestiture from Xbox. The move comes as the studio adjusts to independence after Microsoft's broader studio restructuring earlier this month.
The Kotaku and Neowin reports both tie the cuts directly to the separation. Double Fine was among the studios that left Xbox ownership during the reset. No figures on the number of positions affected or the exact timing of the reductions have been released.
Limited public detail
Neither account provides further specifics on the scope of the layoffs or the studio's plans going forward. The coverage notes only that the reductions began soon after the split was finalized.
Why it matters
Studios that exit large publishers often face immediate pressure to reduce costs and stabilize operations on their own. Double Fine now joins that pattern, with its first visible step being staff reductions rather than new project announcements or funding news. The outcome for remaining teams and upcoming titles remains unclear from the available reports.
---
Sources:
No comments yet