“Disney Infinity” To End Production
Avalanche Studios Also To Shut Down
Disney has confirmed to Destructoid that "Disney Infinity," the figure-based game, will end production.
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.
This also means that Avalanche Studios will be shut down. This news comes in light of the Disney fiscal report. Activision's side of the toy-based products also took a hit, where they downsized their structure. Disney's gaming side isn't doing great, as they stopped publishing games themselves and moved towards licensing their properties (e.g. "Star Wars" and EA).
Source: Destructoid