LucasArts' more than thirty years as a publisher and developer are over. Disney has shuttered the branch and laid off the majority of its employees, according to a statement given to Game Informer.
"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."
Update: For our response and speculation check out Radar Reacts
The sad news has loomed for months--since Disney bought all of the Lucas properties in October of last year, only rumors of stunted projects and cancellations have emerged from the once-prominent publisher.
We don't know what this means for the future of games like Star Wars 1313, though we wouldn't hold our breath for Disney to shop out what remains to external developers.
The company that shipped The Secret of Monkey Island, X-Wing vs. TIE Fighter, and Star Wars: Knights of the Old Republic fumbled its share of projects, but it's still surreal to see LucasArts and its employees go. We wish them the best.