Double Fine CEO Tim Schafer confirmed the studio now owns the IP and publishing rights for its entire catalog following its separation from Xbox, meaning game purchases directly fund the independent studio. The Psychonauts developer also revealed details on its 2026 pottery multiplayer game Kiln and an Amnesia Fortnight Kickstarter launching August 31.
Microsoft's "reset" memo has cast a shadow over several Xbox studios and games. Notably, the Forza Motorsport franchise has been cancelled, and The Outer Worlds series has been discontinued due to poor sales of The Outer Worlds 2. Studios like Compulsion, Ninja Theory, and Double Fine are in negotiations, putting titles like Psychonauts, Senua (Hellblade series continuation), and South of Midnight at risk.
Double Fine, the acclaimed studio behind Psychonauts and recent release Kiln, has filed a union petition with the CWA, seeking recognition from Microsoft. This move reflects the growing unionization trend in the U.S. games industry. With 42 workers involved, the studio's future within Microsoft's portfolio is under scrutiny.
