This article was originally published on Infinity Inquirer.
In a shocking turn of events, Disney has announced that Disney Infinity is officially no more.
Here is the company’s official statement:
By now you may have heard the news that we have made the difficult decision to discontinue production of Disney Infinity. From the beginning, Disney Infinity was built for you—our fans—and I wanted to take a moment to thank you not just for your support over the years, but for creating a community that made Disney Infinity more than just a game.
Our goal for Disney Infinity was to bring the best of Disney storytelling to life in homes around the world, and with your support we accomplished that. We hope you had as much fun playing the game as we had making it.
So what’s next for Disney Infinity? We have two final retail releases coming, including three new characters from Alice Through the Looking Glass later this month, and the Finding Dory Play Set launching in June.
And as we turn to the next chapter in our story, I want to thank everyone who helped bring Disney Infinity to life, particularly Disney’s Glendale-based production and publishing teams, our external development partners, and of course the incredible Avalanche team for their tireless dedication to this project.
But most of all, I want to again thank you for making Disney Infinity a part of your lives—and for adding to the Disney legacy by being a part of this community.
So what’s going on?
Disney posted their earnings report this afternoon, and it did not meet expectations. We knew the Toys-To-Life bubble was going to pop at some point, but obviously did not expect it to be now.
Here are some excerpts from an internal memo sent to employees today:
The team behind Disney Infinity created an incredible product. It was a critical success that inspired a deeply engaged community of players. But, despite Disney Infinity’s quality, it has become difficult to financially justify continued investment given the lack of growth in the toys-to-life market. Coupled with high development costs, the economics of our current vertical business model no longer add up.
In addition, Disney will also be closing Avalanche Software, the main studio behind the Disney Infinity franchise.
More as the story develops…