This way they can possibly lessen the blow made by the development of one long game all at once, and the need for a disc release (that can come later, as a special edition) and if something goes wrong they can choose to fix it in the next installment, or they could simply bail out (which is a complete last case scenario, situation.)
Double Fine has already proven they fit in well with the smaller digital release circle (which saddens me just as much as anyone else, But I love them no matter what) and Notch has proven to be able to make a game that sells well digitally no matter what build its in. Seems Win-Win
That said, I wish those two the best of luck. I'm with Jim in rooting for the shrinking relevance of publishers.
I will definitely pay however much they charge for it. $100, sure thing.
Begun, the Publisher Wars has.
Think about it. The game industry sidestepping big money publishers in favour of developers helping eachother out to make games that don't have to hit a publishers metrics.
New era in the art form if it happens.
You were a cactus, what would you know?!
No but seriously, this would be really cool if it does happen. I've been wanting to play Psychonauts for a while now.
I'm pretty sure I would just buy Double Fine and then throw money at them and let them take their time with games and do all the crazy ideas they want to.
That said, I'd definitely be interested in a sequel.

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