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The glory days of Lucas Arts are long gone, the company wasn't really producing much in the way of worthwhile software for well over a decade.
While I don't feel sad about Lucas Arts being closed, I do feel sad about Disney inevitably shitting over the Star Wars franchise.

This kind of thing makes me wonder; what would have happened to other "oldies" such as Psygnosis, Westwood and Bullfrog if they lived on? Would they have withered and died on their own or could they have kept their epic portfolio growing and pleasing?

I feel ambigious about this bit of news, honestly.