Psychonauts studio Double Fine Productions laid off a quarter of its staff yesterday, three weeks after Xbox announced a massive restructuring that included laying off 3,200 employees of its own and spinning off four studios, including Double Fine. Double Fine confirmed the layoffs impacted 23 staff members. “As a small, tightly-knit team, these actions are not taken lightly,” writes Double Fine founder Tim Schafer. As they begin their next chapter as an independent studio, we look forward to seeing what they create next." In addition to Double Fine, Microsoft also cut ties with Compulsion Games, Ninja Theory, and Undead Labs.