Game over for Disney Infinity
Disney is shutting down its Disney Infinity line of video games, saying the changing market is too risky. The company booked a $147 million charge, mostly for unsold inventory. It also laid off about 300 employees, most of them based in Salt Lake City at Avalanche Software, a game studio Disney bought in 2005. CEO Bob Iger told analysts the risks “caught up with us”. Although the unit did well - bringing its interactive division into profitability in recent years - Disney determined it was better to manage the risks by licensing characters rather than developing video games from scratch, he said. “That business is a changing business, and we did not have enough confidence in the business in terms of it being stable enough to stay in it,” Iger said. Disney Infinity, a platform that brought characters from its Pirates of the Caribbean into the same digital sandbox as those from Cars and Frozen, was launched in 2013 as a way to jump on the “toys to life” bandwagon made popular by the game Skylanders.