After securing government grants, Jensen created a teaser for what would eventually become Limbo, with the explicit purpose to attract more help for the project. This eventually led to Jensen partnering with Patti, and the two of them approaching investors to found the company and begin development proper. Almost immediately after Limbo's release, work began on their next project: INSIDE. Both games were released to critical acclaim.
Patti left the company in 2016, shortly after INSIDE's release.
Playdead had eight employees at the start of Limbo's development, they had sixteen by the end, including contractors. As of 2018, they have forty.
Playdead's third game is currently in development, but no details are known.