Disney Effectively Kills Off LucasArts, Lays Off 150 Games Division Employees

When is the next Star Wars video game from LucasArts coming? It’s a trick question--the answer is “never”, because Disney, which bought LucasFilm for over $4 billion last fall, has decreed that LucasArts will no longer make video games. Instead, GameInformer reports that LucasArts will discontinue its own production and move to a licensing model, which would both minimize financial risk and allow Disney to see what other game developers can do with the properties.

"After evaluating our position in the games market, we've decided to shift LucasArts from an internal development to a licensing model, minimizing the company's risk while achieving a broader portfolio of quality Star Wars games,” said Disney in a statement. “As a result of this change, we've had layoffs across the organization. We are incredibly appreciative and proud of the talented teams who have been developing our new titles."

Lucas Disney
George Lucas selling to Disney

According to Deadline, about 150 LucasArts employees will be laid off, which is the saddest part of the whole thing. What’s doubly sad is that, from a business perspective, Disney is probably smart to dump LucasArts arts after several rough years.

Star Wars 1313
Star Wars 1313? Not going to happen

Still, we admit that we’re a little wistful today, remembering all the great times had in our youth playing some of those excellent Super Nintendo Star Wars titles, getting excited when that LucasArts logo popped up on the screen.

We wish the best of luck to the LucasArts team who will be looking for new jobs in the coming months, and we hope they all land on their feet.