Disney Interactive Studios has confirmed that its action/role-playing game,Pirates of the Caribbean: Armada of the Damnedhas been canceled. The news comes following the reported lay-off of “as many as 100” folks from the game’s Vancouver-based developer, Propaganda Games.

“As a result of this decision, Disney Interactive Studios completed a restructuring of Propaganda Games, its Vancouver, BC internal studio, affecting one of the studio’s development teams,” said vice president of communications Angela Emery today in a statement toKotakutoday.

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The studio is currently finishing up production on the upcomingTRON: Evolution(which hits shelves on December 7), as well as that game’s post-release downloadable content.

Having played the game at a Disney pre-E3 event earlier this year, the news is rather upsetting. While you’d likely blow the game off due to its tie-in with thePiratesfilm franchise, I was surprised to find it was an enjoyable action game with a fresh visual design. The game was to let players choose from becoming either a legendary hero pirate or a dreaded feared plunderer.

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Check out Dale’shands-on impressions and detailsfor the game that will never be.

Pirates of the Caribbean Game Canned as Layoffs Hit Propaganda CONFIRMED[Kotaku]

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