Disney Eliminates Its Metaverse Division

Walt Disney Co. has eliminated its next-generation storytelling and consumer experiences unit, the small division that was developing metaverse strategies, according to The Wall Street Journal citing  people familiar with the situation, as part of a broader restructuring that is expected to reduce head count by around 7,000 across the company over the next two months.

Headed by Mike White, a former Disney consumer-products executive, the division was tasked with finding ways to tell interactive stories in new technological formats using Disney’s extensive library of intellectual property, the people said. 

All of the team’s roughly 50 members have lost their jobs, the people said. White remains at the company, although what his new role will be is unclear. 

Disney’s former chief executive, Bob Chapek, hired White in February 2022, telling employees in an internal memo at the time that the goal was to “create an entirely new paradigm for how audiences experience and engage with our stories.”

Chapek, who was succeeded as CEO by Robert Iger in November, had described the metaverse as “the next great storytelling frontier.” 

Plans for Disney’s metaverse strategy remained sketchy a year after the division was created, although the company had hinted that the new technology might have applications in fantasy sports, theme-park attractions and other consumer experiences.