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Double Fine Productions Announces 23 Layoffs As It Transitions To Become An Independent Studio

Double Fine Productions has announced on social media that it has laid off 23 staff following news that it would be going independent from Microsoft in wake of mass layoffs at various Xbox studios.

Today, Double Fine Productions let go of 23 members of our staff. A a small, tightly-kit 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 were are losing were all important. They all made an impact on our games and culture, and they will be missed. We are committed to support each affected person as best as we can, and we thank them for their hard work and commitment to the creative spirit we cherish here at Double Fine.

Xbox CEO Asha Sharma announced that 3,200 jobs would be lost as a result of what is the “most significant restructure” in the company’s history, which included Double Fine and Compulsion Games going independent. Meanwhile, Undead Labs and Ninja Theory are being sold off.

Double Fine’s most recent project is the party brawler Kiln, which launched in April 2026 for PS5, PC, and Xbox Series X/S.

[Source – Double Fine Productions on BlueSky]