Disney has axed its Disney Infinity series of video games.
Disney Infinity 3.0
The company has revealed that it will also pull the plug on in-house studio, Avalanche Software, as it completely removes itself from the self-publishing console games business.
The write-off of the company, which has featured Disney favourites including 'Toy Story', 'Monsters Inc' and 'Pirates of the Caribbean', is believed to have cost up to $147 million.
Disney said in a statement: "After a thorough evaluation, we have modified our approach to console gaming and will transition exclusively to a licensing model. This shift in strategy means we will cease production of Disney Infinity, where the lack of growth in the toys-to-life market, coupled with high development costs, has created a challenging business model. This means that we will be shutting down Avalanche, our internal studio that developed the game. This was a difficult decision that we did not take lightly given the quality of Disney Infinity and its many passionate fans."
Discussing the cancellation in a blog post, John Blackburn, SVP and GM for Disney Infinity, said: "From the beginning, Disney Infinity was built for you - our fans - and I wanted to take a moment to thank you not just for your support over the years, but for creating a community that made Disney Infinity more than just a game.
"Our goal for Disney Infinity was to bring the best of Disney storytelling to life in homes around the world, and with your support we accomplished that. We hope you had as much fun playing the game as we had making it.
"So what's next for Disney Infinity? We have two final retail releases coming, including three new characters from 'Alice Through the Looking Glass' later this month, and the 'Finding Dory' Play Set launching in June."