Disney axes LucasArts

After three decades, LucasArts is closing its doors.

The Walt Disney Company plans to shut down the studio it inherited with the acquisition of George Lucas' film company last year in an effort to focus on licensing its "Star Wars" brand.

The company says a small team will remain to handle licensing partnerships but all inhouse development has been halted, including its much-anticipated title "Star Wars 1313."

Disney, which purchased Lucasfilm last year for over 4 billion U.S. dollars has its own interactive games division and is several months into an internal cost-cutting review.

A Lucasfilm spokesman declined to disclose the number of employees currently at LucasArts or those affected by the shutdown.