SAN FRANCISCO (CBS SF) – Multiple online outlets are reporting that Disney is shutting down the Bay video game division of LucasFilm and laying off a number of Bay Area employees.
LucasArts will retain a small staff to manage licensing of games created by other companies, according to Gamespot.READ MORE: Reports of Jack Dorsey Stepping Down as Twitter CEO Inspire Stock Surge
“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,” reads a statement from the company.
“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.”READ MORE: Travel Restrictions Begin Amid Growing Concerns Over The New COVID Omicron Variant
The cuts come just weeks after the elimination of companies ‘Clone Wars’ television series.
Disney completed its acquisition of San Francisco-based Lucasfilm Ltd. for $4.06 billion in cash and stock last December.
The company issued 37.1 million shares and made a cash payment of $2.21 billion to buy the maker of “Star Wars” from its sole owner, George Lucas.MORE NEWS: Interrupted Car Burglary Turns Deadly In Oakland
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