Disney has announced that they will be permanently closing the doors of Blue Sky Studios, the animation studio most notably known for Ice Age and Rio.
According to Deadline, Disney decided they couldn’t sustain a third animation studio outside of Pixar and Disney Animation. It is reported that due to the coronavirus pandemic, the studio was financially struggling. Beginning in April, the studio will officially close and work with the 450 employees to explore open positions at other Disney studios.
“Given the current economic realities, after much consideration and evaluation, we have made the difficult decision to close filmmaking operations at Blue Sky Studios.”
Blue Sky Studios IP will remain with Disney due to new Ice Age and Rio projects already in development.
Co-President Andrew Millstein has been serving alongside Co-President Rob Baird. Both Millstein and Baird are expected to exit from the dying studio.
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