Disney restructures into digital-only publisher

Variety's reporting that Disney has restructured into a digital-only publisher, and will now eschew retail and packaging.

"As part of setting a strategic direction for future success in the digital media space, the Disney Interactive Media Group today began a restructuring process," read a statement to the site.

It follows claims that 700 jobs had been lost at the company, with Epic Mickey developer Junction Point also seeing lay-offs.

Disney saw some large core releases in 2010, with Black Rock's Split/Second, Epic Mickey and Propaganda Games' Tron Evolution all shipping.

Propaganda has since closed.

The studio's Pirates of the Caribbean: Armada of the Damned, canned late last year.

Despite Epic Mickey selling 1.5 million in the US, Split/Second and Evolution bombed in terms of sales.