FAQ

Jesse Walsh, the main protagonist of the second film, does not appear in any other film in the series so his final fate is unknown. However, Dr. Gordon mentions to Nancy that they "lost a kid" from their institute to another asylum and he cut off his own eyelids to stay awake from his dreams. Jesse seemed to still suffer the nightmares at the end of the sequel, so this implies that the "kid" may actually be Jesse Walsh, though this is never confirmed. Also, in the documenty 'Never Sleep Again", some of the people involved with the film express their ideas of what his fate was. The actor whom portray's him thinks he survived, or "he didn't go to burning man". Another person involved believes Freddy killed them all. In the end, it's left to the watcher to come up with their own ending for Jesse.