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What is the ending?
The ending of Pinocchio: Unstrung has James and Pinocchio turn against Geppetto, trap him in the basement workshop, and ignite the house, leaving him presumed dead in the fire. James, Mia, and Pinocchio escape, and the story closes with the three surviving together after the nightmare.
James is frightened, grieving, and pushed to act when the violence around him spirals out of control. Mia survives alongside him, and Pinocchio survives too, though he remains tied to the killings and to the question of what he has become.
Scene by scene, the ending moves like this:
James and Pinocchio reach the point where Geppetto can no longer control what has been set in motion. The workshop, once a place of creation, becomes a trap. The two force Geppetto down into the basement area, shutting him inside the very space where Pinocchio was made.
Geppetto is left trapped in his own domain, surrounded by the machinery and materials that defined his work. The fire starts, and the building quickly becomes unstable as flames climb through the structure. The blaze spreads fast, turning the workshop into a collapsing furnace.
James and Pinocchio get free before the fire consumes everything. Mia escapes with them, and the three make it out alive while the house burns behind them. The destruction is complete enough that Geppetto is believed to have died in the fire.
After the escape, the ending settles on the surviving trio. James is left alive, shaken, and changed by everything that happened. Mia survives the ordeal. Pinocchio also survives, but the final moments leave him with the same dark, unsettled presence that drove the story's violence.