Disney Will Change ‘Star Wars’ Franchise, Starting With ‘The Mandalorian and Grogu’
Star Wars is finally heading back to theaters — and Disney is taking a noticeably different approach.
In May 2026, The Mandalorian and Grogu will become the franchise’s first theatrical release since The Rise of Skywalker (2019). The film continues the story of Din Djarin and Grogu as the New Republic attempts to stabilize the galaxy following the fall of the Empire.
Pedro Pascal returns as the Mandalorian. Sigourney Weaver joins as Ward, a leader of the New Republic’s Adelphi Rangers. Jeremy Allen White plays Rotta the Hutt, son of iconic original trilogy villain Jabba the Hutt, with Jonny Coyne appearing as an Imperial Warlord.
Jon Favreau once again oversees the project. The difference this time is scale.
Disney Takes a More Controlled Approach
According to the California Film Commission, via Collider, Disney spent just $166.4 million making The Mandalorian and Grogu.
That figure is dramatically lower than previous Disney-era entries. Forbes reported that The Rise of Skywalker cost over $590 million before tax credits, while Star Wars: The Force Awakens (2015) reached $638.9 million.
Even the least expensive Disney-era Star Wars film topped $327 million. The new total signals a clear shift.
Recent reports suggest Disney views The Mandalorian and Grogu as a test for the franchise’s theatrical future. Under co-presidents Dave Filoni and Lynwen Brennan, Lucasfilm is said to be closely monitoring performance before committing to additional big-screen Mandoverse projects.
The strategy follows several turbulent years.
Season 1 of The Mandalorian launched to strong acclaim and cultural dominance. Subsequent seasons and other Disney+ shows, including The Book of Boba Fett, Skeleton Crew, and The Acolyte, drew more divided reactions.
In the case of The Acolyte, backlash escalated. Showrunner Leslye Headland later attributed part of the reaction to “fascists and racists.”
While Headland has since noted that The Acolyte was a success in its own right, its budget became a factor in its cancellation. As Forbes reported, production of The Acolyte reached $230.8 million before a $43.8 million tax credit.
“We were happy with our performance, but it wasn’t where we needed it to be, given the cost structure of that title, quite frankly, to go and make a season two,” Alan Bergman, co-chairman of Disney Entertainment, told Vulture in 2024. “So that’s the reason why we didn’t do that.”
Even critically praised entries carried heavy price tags. Forbes reported that the two-season run of Andor totaled $645 million.
‘Star Wars’ Franchise Reaches a Turning Point
The recalibration extends beyond one project.
A recent New York Times profile of Shawn Levy, director of Star Wars: Starfighter (2027), emphasized his reputation for efficiency. Hugh Jackman described Levy as “never over time, over budget, over schedule.”
Taken together, the message is straightforward.
After years of expansive spending and uneven streaming results, Disney appears intent on tightening oversight. The Mandalorian and Grogu now carries more than narrative weight — it represents a strategic pivot for one of Hollywood’s most valuable franchises.
The box office will determine whether that reset works.
Are you excited for the future of the Star Wars franchise?
