Pixar Trims Staff as Studio Refocuses on Feature Films After Disney+ Pivot

The revered animation studio is parting ways with around 175 employees, primarily from its Disney+ series productions, as it realigns its strategy towards feature films.

In a strategic move to refocus its efforts on theatrical feature films, Pixar Animation Studios has undergone a round of layoffs affecting approximately 14% of its workforce, or around 175 employees. The layoffs, confirmed by multiple reports, primarily impact staff members who were brought on to produce original series for Disney’s streaming platform, Disney+.

The decision to trim Pixar’s workforce comes as the studio pivots away from its recent foray into streaming content, a strategy shift driven by Disney CEO Bob Iger’s mandate to prioritize quality over quantity. In an internal email obtained by The Hollywood Reporter, Pixar President Jim Morris acknowledged the challenges the industry has faced in recent years and the need to refocus on the studio’s core strength: feature films.

“I have spoken to you many times over the last year about our pending move away from series production for Disney+, the return to our focus on feature films, and the reduction in our team that would accompany that,” Morris wrote. “That day is here, and while it is not coming as a surprise to anyone, it is one of the hardest changes we’ve had to make, as it means we will be parting with a number of talented and dedicated colleagues and friends.”

Pixar

Pixar’s foray into streaming content was a strategic shift under former Disney CEO Bob Chapek, who prioritized bolstering the company’s streaming offerings. The studio produced a number of shorts and the series “Monsters at Work” directly for Disney+, with the exception of the upcoming “Win or Lose,” these projects are now being canceled as part of the realignment.

The layoffs come on the heels of a challenging period for Pixar, which saw several of its feature films, including “Soul,” “Luca,” and “Turning Red,” released directly to Disney+ during the pandemic. Additionally, the “Toy Story” spinoff “Lightyear” underperformed at the box office, leading to the dismissal of two executives responsible for the project.

However, there are signs of optimism on the horizon for Pixar. The recently released “Elemental” found an audience internationally and on Disney+, while the upcoming sequel “Inside Out 2” is already projecting strong box office numbers, with Iger expressing positive sentiments about the film.

As Pixar navigates this transition, the studio remains committed to maintaining its high standards of quality and storytelling. While the layoffs represent a difficult chapter, the realignment towards theatrical feature films aligns with the studio’s core strengths and could set the stage for a resurgence in its creative and commercial success.

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