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RIP LucasArts: Disney Shutters Games Development At Iconic Studio

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Disney has decided to close the iconic video games studio Lucas Arts - less than six months after buying the company.

LucasArts was responsible for games including Grim Fandango, Maniac Mansion, the Monkey Island series and the upcoming Star Wars 1313.

Disney acquired LucasArts as part of its $4billion deal to buy all of the Star Wars company and licenses.

But all upcoming games are now thought to have been cancelled, while only a skeleton staff will be retained to handle licensing deals.

It is thought about 150 staff have lost their jobs.

"After evaluating our position in the games market, we've decided to shift LucasArts from an internal development to a licensing model, minimising the company's risk while achieving a broader portfolio of quality Star Wars games," said a statement by Lucasfilm.

"As a result of this change, we've had layoffs across the organisation."

Disney said at the time of the acquisition that it would move away from developing console games internally, and would instead seek to have Disney and Star Wars games made by outside developers.