Tim Schafer, in a conversation with Playboy.com -- the Internet's answer to boring, highbrow pornography -- revealed that Grim Fandango and Psychonauts, while excellent games, will not be getting sequels. Here's a quote:
I can't say I'm shocked as Psychonauts sold a total of four copies (Linde sleeps with one under his pillow), and Grim Fandango's contributions to the modern consciousness have largely been adopted and co-opted by Tim Burton; should a Grim Fandango sequel ever appear, obese fourteen year old girls would waste years of their increasingly depressing lives searching for the Jack Skellington cameo. I wouldn't blame the man for not wanting to be responsible for furthering the societal decay best left to artists more familiar with manscara and the bizarre quirk of evolution that makes unattractive people attractive to other unattractive people.
Still, it's a shame we won't see more of these strikingly original settings. Fan fiction can only do so much, and it all invariably degrades into disgusting descriptions of how well Manny's posthumous skull lends itself to "ocular coupling".