Disney has announced at an investor’s meeting the decision to cancel Disney Infinity, close Avalanche Studios and stop publishing video games. Originally tweeted by Ben Fritz, a writer for the Wall Street Journal:
Disney cancels struggling Infinity video game line. Takes $147 million charge. End of Disney as video game publisher.
— Ben Fritz (@benfritz) May 10, 2016
The media giant will also be shutting down the Utah-based developer, Avalanche Studios, and laying off close to 300 people. The provided official statement regarding the closure is as follows:
After a thorough evaluation, we have modified our approach to console gaming and will transition exclusively to a licensing model. This shift in strategy means we will cease production of Disney Infinity, where the lack of growth in the toys-to-life market, coupled with high development costs, has created a challenging business model. This means that we will be shutting down Avalanche, our internal studio that developed the game. This was a difficult decision that we did not take lightly given the quality of Disney Infinity and its many passionate fans.
With the former publisher shifting its focus to licensing, this opens up countless opportunities for other talented studios to make great titles out of the House of Mouse’s trove of high-profile IPs. Â Comment below and tell us what you think of this decision.
