Rumors have circulated the internet for months about Disney Interactive, the video game and internet division of the Disney company, laying off a large number of workers and unfortunately the rumors are true. About 700 workers from Disney Interactive have been laid off yesterday March 6, 2014. According to the New York Times, Disney combined the mobile games with the social (Facebook) games and will rely more on third-party licensing.
Disney Interactive has nothing to fear from Japan’s market because their Tsumu Tsumu the Disney mobile game is the number one app in Japan since its release on January 29th. Disney mobile games are now have a small cult following due to the popularity.
The problem Disney Interactive is having lies with the Facebook social games because people are choosing to play the mobile ones instead. With a full quarter of Disney Interactive’s staff now out of the picture, it is hard to predict if the game division will be able to surpass its profits.
Via New York Times