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DF basically got paid to goof off an a very expensive city. MS basically bankrolled their hangout and chill lifestyle. Day to day was basically them having mildly interesting discussions about their personal lives and easily solvable creative/ technical stuff that went round and round.
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Double Fine has been an indie studio for longer than Xbox has been invested in games. And as far as I know they've been situated on San Francisco for that entire time. They didn't just bumble into a trillionaire company and lounge on the job security.

Those kinds of statements show a misunderstanding of both the studio and how the games industry works. Any one of those engineers could have gotten into a FAANG the traditional way and doubled, if not tripled, their salary on arguably less involved problems than what they go through creating a real time game.

Its also likely why Schafer chose to take the studio back rather than go the route of finding a new publisher to work under. He still wants to work on games for a little longer rather than get a last paycheck and retire early.

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Psychonauts 2 was funded we-got-kickstarter-at-home and already well into development before MS acquired DF. If anything this exemplifies that DF did not function under MS if they couldn't replicate that post-acquisition.
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Ehh, Microsoft still got to reap the profits of it.

And yes, no one expects a brand new IP to have the same odds of success as a old IP that's become a cult classic. DF's strategy and directions were not to make the most profitable, safe release because that's not why you buy a studio like DF.

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did you mean Pentiment, led by Josh Sawyer at Obsidian?
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Yes, apologies for the misspelling. Very likely another game that wouldn't "succeed" in a traditional release, but would potentially get people into a subscription service.

Despite that loss leading strategy, Obsidian has had quite a few other releases that did to make up for that side project. So the studio would overall be in the green despite that.

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I loved Pentiment, but it was soooo much reading.
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