Disney has closed LucasArts, the video game division of Lucas Film, in an attempt to reduce costs. About 200 employees working at LucasArts were also laid off, as part of the closure of the unit.
LucasFilm said in a statement that after evaluating the company’s position in the games market, it has decided to shift LucasArts from an internal development to a licensing model, minimising the company’s risk while hoping to achieve a broader portfolio of quality Star Wars games.
"As a result of this change, we’ve had layoffs across the organisation," the company said. "We are incredibly appreciative and proud of the talented teams who have been developing our new titles."
Disney bought Lucasfilm from its founder and director George Lucas for about $4bn in 2012.
LucasArts was established in 1982 and its video games included titles such as Lego Star Wars and Star Wars Battlefront, according to its website.
