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Across the globe, studios come and go seemingly on the whims of a cruel god even successful or beloved companies are regularly hit with layoffs and closures. That's not because of its own performance but simply because it was a video game studio. These decreases were partially offset by higher licensing revenues."Įven without the tremendous amount of pressure placed on Disney Infinity to succeed or the exit strategy that executives laid out before the game even launched, Avalanche was on shaky ground. lower operating margins and comparable store sales at our retail business and lower results for Infinity. Disney gets to pick the studio it wants rather than run the one it has.īesides, Infinity couldn't touch the numbers brought in by Star Wars: Battlefront, a series that Disney licensed to a third-party studio (EA) for development and publishing.ĭisney Interactive saw a decrease in operating revenue and income in the second quarter of 2016, and the company mentioned these retail and licensing factors in its earnings report: "Lower operating income was primarily due to. For a megacorporation like Disney, which has to manage its franchises for film, books, TV and various other formats, it's more cost-effective to license its games to the highest bidder with the best resources. In a world where competitors are increasingly targeting digital releases, it's incredibly expensive to manufacture retail games - let alone toys-to-life titles that require a lineup of action figures hitting stores throughout the year. "If it doesn't do well, the opposite will be the case."ĭisney Infinity did do well, but not well enough. "If Infinity does well, it bodes very well for the bottom line of this unit," Iger said at the time. Update your settings here, then reload the page to see it.
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