Disney Interactive Expected to Lay Off Hundreds of Workers

Despite the ongoing success of Disney Infinity, layoffs are expected at Disney Interactive, the video game and digital media arm of The Walt Disney Company.

According to industry sources, Disney Interactive lost $200 million a year between 2008 and 2012 and the company is going through a transition period.

Several hundred people are expected to be laid off when the cuts happen.

Last year, Disney Interactive cut 50 jobs and closed Junction Point Studios where the Epic Mickey games were developed. Three years ago Propaganda Games – the studio responsible for the Tron: Evolution games – was shuttered with 200 people laid off.

In California – where Disney Interactive is based – the state requires companies with more than 75 employees to give 60 days’ notice of impending layoffs that will eliminate more than 50 jobs. According to the California Employment Development Department, Disney Interactive had not given such notice yet.

More than 3 million starter kits have been sold for Disney Infinity game.


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