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Disney Axes LucasArts, Lays Off 150 Workers: Report

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Just five months after buying Lucasfilm and becoming the new home of "Star Wars," Disney is already downsizing the operation.

The Walt Disney Company has reportedly shut down LucasArts, a game publishing subsidiary within LucasFilms, and laid off "some 150 workers," according to Kotaku News. The decision to shut down the company also means the termination of the studio's current video game projects: "Star Wars: First Assault" and "Star Wars 1313," Kotaku reports.

Game Informer released Disney's official statement regarding the decision:

After evaluating our position in the games market, we've decided to shift LucasArts from an internal development to a licensing model, minimizing the company's risk while achieving a broader portfolio of quality Star Wars games. As a result of this change, we've had layoffs across the organization. We are incredibly appreciative and proud of the talented teams who have been developing our new titles.

According to Reuters, it is unknown how many people are employed by LucasArts.

Disney purchased Lucasfilm in October for $4.05 billion. The latest installment in the "Star Wars" film series, "Star Wars: Episode VII," is supposed to be released is 2015.

Disney did not immediately respond to the Huffington Post's phone calls on Wednesday.

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Disney shuttering LucasArts, moving to licensed games model