It’s another one of those days, as Double Fine have announced that they are laying off 23 members of staff. This comes weeks after their split from Xbox that left them independent once more, which also saw South of Midnight developers Compulsion go indie, and State of Decay studio Undead Labs and Senua’s Ninja Theory acquired by new, as of yet to be confirmed owners.
“Today, Double Fine Productions let go of 23 members of our staff,” reads a statement from studio head Tim Schafer. “As a small, tightly-knit team, these actions are not taken lightly. Only the survival of our studio would ever make us consider such a painful action. Our transition to becoming an independent company also means becoming a size that we can sustain. The people we are losing were all important. They all made an impact on our games and culture, and they will be missed.”
— Double Fine (@doublefine.com) July 28, 2026 at 8:01 PM
The statement ends by noting that Double Fine are “committed to supporting each affected person as best we can,” and thanked them for their work. In a separate statement provided to Kotaku, an Xbox spokesperson essentially washed their hands of the matter saying, “Double Fine fully returned to independent management earlier this week, with their IP, catalog, and runway for their next games. As they begin their next chapter as an independent studio, we look forward to seeing what they create next. Double Fine is now fully independent and manages its own operations.”
Ever the insider Jason Schreier clarified on Bluesky that prior to the layoffs the studio was made up of around 90 staffers, meaning around 25% of the workforce has essentially been cut. Judging from several posts floating around on social media, some staffers had been at the studio for years that go in the double digits.
Solidarity to all those affected as always.
