The link does work. Notice the spaces between the lone zero and the commas? Put all of it together and you should be able to see it.
Basically, Disney is focusing its attention on mobile and online entertainment, drifting away from the console business. Sales of games such as Tron and Tangled have failed to reach a million copies sold, so the studio responsible for them has been closed. They're reestructuring their whole strategy, since they have had little success regarding videogames.
Disney Interactive Media Group laid off about 200 people Monday as co-Presidents John Pleasants and James Pitaro announced a sweeping reorganization of the unit's games and online groups. The cuts are believed to represent the first wave of reductions, with more expected in the coming months as the recently installed executives work to trim costs and achieve profitability, according to people with knowledge of the situation.
"The pair of executives were installed in October with a mandate to reverse the fortunes of Disney's digital media group, which reported a net loss of $787 million over the last three fiscal years on revenues of nearly $2.2 billion."
Indeed, among the console games released in 2010, several failed to sell even 1 million units, including two pegged to Disney films — Tangled: The Video Game and Tron: Evolution — and the racing game Split/Second. Disney Interactive closed Propaganda Games, the Vancouver, Canada-based development studio responsible for the Tron game, earlier this month.
Creutz and others on Wall Street interpreted Disney's $563.2-million acquisition last summer of Playdom, a company that develops games for social networks such as Facebook and MySpace, as signaling a shift in strategy for the games group.
The Problem with Licensed Games
may be just a wee bit responsible for the low sales of Tangled and Tron...Right? Epic Mickey
has sold pretty well so far...But this is discouraging, indeed.
edited 26th Jan '11 4:04:51 PM by Richie