Venerable LucasArts, historied developer of games such as Day of the Tentacle and Star Wars Jedi Knight, has been shuttered. Disney confirmed that the studio has been closed and most of its employees laid off. The official statement is as follows:
"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. 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."
Disney will continue to license and release Star Wars games. All LucasArts projects have been canceled, however, including Star Wars 1313 and First Assault.