Markus "Notch" Persson, the former owner of Mojang and creator of Minecraft, offered to fund a sequel over Twitter. He later backed out when told the cost of funding was estimated at $13 million.
The music in this game contains extracts from classical music (for example, fragments from 1812 Overture can be heard during Waterloo World).
Originally Psychonauts was going to be published by Microsoft, and was set to be an Xbox exclusive. Development though got caught between the transition of the original Xbox and the Xbox 360. Microsoft wanted an Xbox 360 port, but was not willing to give the additional funding to do so. Microsoft subsequently pulled out of publishing since they didn't want to soley release the game for the original Xbox, and funding for an Xbox 360 port couldn't be established. Eventually Majesco picked up publishing for the game, and Psychonauts then became a multiplatform title for the PlayStation 2 and Xbox as well as the PC.