Bonum Certa Men Certa

Microsoft Relies on Misleading Narrative of Studios Going 'Independent'; in Reality There Are Mass Layoffs in Them

posted by Roy Schestowitz on Jul 29, 2026

Unions take legal action against Microsoft

Haven't we all seen press reports about studios that Microsoft got rid of (because XBox is unsustainable) going "solo" or "independent" or some other nice-sounding status?

Well, as it turns out id Software and others are brutally cut and even some that "broke off" or left Microsoft [1-2] "Amid Divestiture From Xbox" [3] are so badly hit that within a few weeks a quarter of the staff is laid off [4].

This is not a good narrative for Microsoft, which already faces lawsuits over it. █

Related/contextual items from the news:

  1. Neowin ☛ Psychonauts studio Double Fine hit with layoffs after split with Xbox

    Earlier this month, the new Xbox CEO Asha Sharma initiated the big "reset" for the Microsoft gaming division she had been talking about for some time. This meant 3,200 layoffs across game development studios, major internal IP changes, and even five first-party Xbox Game Studios being spun off as independent companies or being sold. One of those studios today announced a layoffs wave of its own, affecting almost 30% of the team.

    Double Fine Productions founder Tim Schafer today announced over social media that 23 members of staff have been let go. The team had been about 80 strong before this. He said the survival of the studio was the only reason this kind of decision would be made and that being independent from Microsoft means it has to have a team size that the company can sustain.

  2. Newly Independent Double Fine Has to Lay Off 23 Devs to Ensure Survival of the Studio

    The cuts were confirmed in a social media post from Tim Schafer, which read: "Today, Double Fine Productions let go of 23 members of our staff. 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."

  3. GO Media ☛ Psychonauts 2 Studio Double Fine Hit With Layoffs Amid Divestiture From Xbox

    An Xbox spokesperson has shared the following statement with Kotaku: “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.”

    Xbox declined to comment on how much runway Double Fine has.

  4. Gamer Network Limited ☛ After gaining independence from Xbox, Double Fine are laying off a quarter of their staff

    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."

Other Recent Techrights' Posts

The Real Issue With The Register MS is Not the Politics of Some Staff's "Tweets", It's That The Register MS Publishes Fake Articles for Sponsors (50,000 Pounds Minimum)
AWS and Google each pay millions for fake articles which beget journalistic bias too (they literally pay the salaries of the 'reporters')
Microsoft Total Cost of Ownership (TCO): We Need Accountability Because Many People Die and It's Because of Microsoft Diehards or People Bribed by Microsoft to Deploy Microsoft Where Lives Are at Risk
They're trying to save face right now
What the Media Misses: It's Not an NVIDIA Issue, Super Micro Computer Inc Also Fell From $45 to $26 in the Period NVIDIA Lost 33% of Its Faked 'Value', NVIDIA is Collapsing Like Intel
History goes in circles
Waste of Money: Giving More Money to Toothless Regulators That Don't Even Examine Evidence
Shame in SRA
At Microsoft, "Buyouts" or "Global Voluntary Separation Agreement" (GVSA) Not Much Different From Layoffs (Severance Shockingly Low)
From what we are able to gather, many people are leaving Microsoft 'voluntarily'
Is Microsoft the Next Fake-Valued Corporation to Lose 35% in "Market Value"? Is Slop Bringing Microsoft Down?
Will NDAs prevent people talking or journalists finding out the true cause?
Silent Layoffs at IBM (and Red Hat) Continue in November 2026
IBM's CEO is "a Palliative Care Doctor Who Slides [IBM] Gently Into the Night"
Links 13/11/2026: "Apple Support Community Forums to Permanently Close" and "The Slop Market is Getting Nervous"
Links for the day
 
Gemini Links 13/11/2026: Productivity Metrics and Antenna Outage
Links for the day
It's Not About China or Sex, It's About Corruption at NVIDIA and a Pyramid Scheme Perpetrated Under the Guise of "Hey Hi Revolution" (That Wasn't, It's Manufactured and Hyped by Bribes, Subsidised by Multi-Trillion-Dollar Loans, People's Pension Funds and More)
What's at stake here is a lot bigger than the "Ponzi hub" of Jensen Huang
No, You're Not a "Most Valuable Company" When Everything is Down for Half a Day in the Entire Planet
Still down, still no explanation (maybe they too aren't sure)
"Techrights Statement on Phoronix" Still Valid Five Years Later
Our position as stated in early 2022 has not changed
Vista 11's 'Growth' Has Stalled, It's Measured at Only 17.9% in the US This Year
That helps put in perspective Microsoft's attempt to discard almost 30% of its remaining workforce
"NVIDIA is Enron" (Subsidising the Pyramid Scheme That It Profited From), Microsoft is Next to be Down for the Count
Microsoft increasingly looks like the "next NVIDIA"
Richard Stallman Travels to South America to Give Talks About Free Software in Spanish, FSF Raises Money
The FSF is raising money (goal is $400,000) and the FSF has just mentioned the upcoming talks by the FSF's founder
United States Adding ~300 Billion in Government Debt Per Month, Wall Street Shaves Off Trillions in 'Value' in Less Than One Week
cushioning "assets" by helping them fake "value"
Microsoft: Pay Us for the Stuff That's Offline and We Cannot Fix
Learn to take control of the technology that you rely on
Links 13/11/2026: "Copyright-Strike-for-Hire" and "Stevie Wonder Photo Lawsuit"
Links for the day
The Slop Bubble (or Pyramid Scheme) Relied on Trust and Patience (Being Patient as Losses Grow and Debt Explodes, Trusting the Roadmap of Cheaters and Frauds)
Remember that it all began with trust
Anthropic's IPO Depends on $895.4 Billion in Debt (Money It Doesn't Have, It Loses Over 100 Billion Dollars Per Reporting Period), NVIDIA Has Just Lost Almost 2 Trillion Dollars In Value and Its Debt Trebled in Three Months
This coming week will be very, very entertaining for slop critics/sceptics to watch
Lorenzo Stoakes (ARM) the Latest of Many to Quit Linux Development Over Linus Torvalds' Obsession With Slop (Linus Wants to Work With Bots, Not Humans Who Understand Whatever Code They Write)
Linus caught the 'brain virus'
Microsoft Asks 60,000 Workers to Leave, Some Leave, Services Go Down
Microsoft laid off about 40,000-50,000 people in past years
Gemini Links 13/11/2026: Roku Exits the Smart Home Market and Poor Reporting/Journalism Regarding Slop Plagiarism
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, November 12, 2026
IRC logs for Thursday, November 12, 2026
Gemini Links 12/11/2026: A Firing of a Boss and Geminispace Growing Fast
Links for the day
Bill Epsteingate-Funded BBC "Totally Ignoring the $1.7 Trillion Wiped off NVIDIA Stocks"
Imagine how many pension funds are tied to this NVIDIA pyramid scheme
A Few Hours Before NVIDIA CEO Canned (and NVIDIA Shares Plunged) the NVIDIA-Funded The Register MS Published Paid Spam With "AI" 18 Times in It
Anything to inflate the bubble
Links 11/11/2026: NVIDIA Decapitated, "The Company That Published Fake Journalists in Sports Illustrated is Collapsing Dramatically"
Links for the day
Intercontinental Brigading - Part XXXXIX - We Didn't Start the Fire
It started in 2012
Photo Ops Are Liabilities
NVIDIA is not a "family business" and its CEO isn't some modest genius
NVIDIA’s Total Debt Trebled in Three Months!
Not the hallmark of a rich company unless its accounting is fraudulent
NVIDIA Turns Out to be Serial Cheater, Stock Plunges 33% in 5 Weeks
The "slop bros" have long relied on patience and blind faith
Adopting LLM Slop is Still Suicide
Suicide (in the literal sense) is also linked to adoption of chatbots
On Laundering Licences and Code
A "Second SCO" waiting to happen
The Cyber Show on Slop and the Ministry Of Truth in "Nineteen Eighty Four"
"cultural erasure" by slop
Intercontinental Brigading - Part XXXXVIII - Keeping Both Eyes on the Ball
One upside of these disputes is that they raise at least two very important issues concerning the law
Gemini Links 12/11/2026: Encryption is Easy, Human Emacs, and Legislation in Italy
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, November 11, 2026
IRC logs for Wednesday, November 11, 2026
Links 11/11/2026: End of Novaya Gazeta (Assassinated by Putin) and North Koreans Too Poor to Buy Rice
Links for the day
Gemini Links 11/11/2026: The Tyrant’s Moat and Rants About Slop Causing Problems
Links for the day
Links 11/11/2026: Skydance Games and Boeing Hit By Layoffs, "Time Out for Timeouts"
Links for the day
IRC is for Communities, Social Control Networks Are for Broligarchs (by Broligarchs)
Unlike Reddit, it's not a company
JavaScript is the Problem, Not the Answer
Making the Web better is about making things better, not slapping more JavaScript 'walls' at it
Intercontinental Brigading - Part XXXXVII - "Making a False Complaint to Police is a Crime." (British Cops Aren't American Mercenaries)
"In the United Kingdom, the Foreign Enlistment Act 1819 and the Foreign Enlistment Act 1870 make it unlawful for British subjects to join the armed forces of any state warring with another state at peace with Britain."
The Label 'Anti-AI'
They make it sound like opposing plagiarism or cheating is an act of intolerance or hatred
Intolerance and Violence
Intolerance in the software world is not a new problem
António Campinos Hiding From Staff Amid Strikes, Won't Participate in Dialogue
They voted to continue striking until Christmas
Silent Layoffs at IBM (Rolling Layoffs), Now Curbs on H1B (Mostly Indian Applicants)
Little will change at IBM except the gravity (global distribution) of its workforce will go east
Links 11/11/2026: Moving from Proton to Posteo and "Floating in Space"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, November 10, 2026
IRC logs for Tuesday, November 10, 2026