Disney is closing its metaverse department

Disney seems to be ending the division that built applications for the metaverse. The department, which employed fifty people, has been disbanded as part of a larger reorganization. A reason for the cancellation is unknown.

According to sources from The Wall Street Journal the department that was supposed to make ‘next generation storytelling’ has been disbanded. That is a division within the entertainment company that worked on stories and other content in the metaverse and other digital formats, among other things. About fifty employees worked at that part of Disney.

Disney founded the division in February 2022. The department was led by Mike White, who previously worked on major titles within the company. Since then, however, few updates have come about the department’s plans for the metaverse. The company hinted that the metaverse applications could include rides from the Disneyland parks and sports applications could be created, but no concrete demos or even concepts were ever presented.

The division was dropped as part of a recent major reorganization at Disney. 7,000 workers were laid off. It is not known why specifically the metaverse division is being discontinued, but the popularity and interest in metaverse applications has been much lower than tech companies hope for years.