Disney Interactive is cutting 700 jobs which amounts to about 26% of its total workforce. As part of the restructuring Disney will be reducing its game output by half following the disappointing releases of Stack Rabbit and Where’s My Water 2. Disney will also be shutting down the Spoonful and BabyZone websites while transitioning Disney.com to sponsor supported in lieu of banner ads. In a statement Disney said, ““Disney Interactive has consolidated several lines of business as part of an effort to focus the division on a streamlined suite of high-quality digital products. As a result of this restructuring, we have undergone a reduction in workforce. These actions were difficult but necessary given our long-term strategy focused on sustainable profitability and innovation.” Read the New York Times article for more information.
