Disney making 'Toy Story 3' without Pixar

Posted Tuesday, November 16, 2004 at 9:36 AM Central

by Tim Briscoe

According to an article in The Hollywood Reporter, Disney is establishing a digital animation studio in Glendale, Calif. First on its project list will be a sequel to Pixar's Toy Story 2.

You might remember that Pixar Animation Studios announced early this year that they will not be entering into a new distribution deal with the Walt Disney Company. One of the major points of contention to which Disney refused was that Pixar wanted the rights to the characters it created and the opportunity to produce any sequels. The collapse in the deal meant that Disney kept those rights.

Disney CEO (for now) Michael Eisner said in October that the company was developing two films centering around Toy Story at the same time. Presumably those will be Toy Story 3 and Toy Story 4.

Perhaps this move is a ploy to bring Pixar back into the fold. Pixar head honcho Steve Jobs recently told The New York Times that he favors a return to Disney. Jobs has also been mentioned as a possible successor to Eisner whose contract with Mickey Mouse ends next September. Jobs did mention that Warner Bros. and Fox are also possible new homes for Pixar.

Just like its previous releases, Pixar's The Incredibles is doing strong numbers at the box office. Next November's Cars is the animation studio's last scheduled film to be distributed by Disney. A new Pixar distribution deal won't be made "until the last possible moment," Jobs has said.