List of animation studios owned by The Walt Disney Company
Pixar () is an American computer animation film studio based in Emeryville, California. The studio is best known for its CGI-animated feature films created with PhotoRealistic RenderMan, its own implementation of the industry-standard RenderMan image-rendering application programming interface used to generate high-quality images. Pixar began in 1979 as the Graphics Group, part of the computer division of Lucasfilm before its spin-out as a corporation in 1986 with funding by Apple Inc. co-founder Steve Jobs, who became its majority shareholder. Pixar and Disney had a seven feature agreement that allowed Disney to distribute the films with Disney owing the character rights. With the success of "Toy Story 2" in 1999, then-Disney CEO Michael Eisner and Pixar CEO Steve Jobs began to disagree on how Pixar should be run and the terms of their continued relationship. Eisner claimed that Toy Story 2 would not count towards the "original" film count of the agreement. Jobs announced in January 2004 that Pixar would not renew their agreement with Disney and would seek out other distributors for releases starting in 2006. In 2004, Disney Circle 7 Animation was formed as a CG animation studio to create sequels to the Disney-owned Pixar properties. In Late January 2006, new Disney CEO Bob Iger and Jobs agreed to have Disney purchase Pixar which led to Disney closing Circle 7.
Modern animation in the United States
Lucas experienced cash flow issues after his 1983 divorce, and in 1986 Pixar was spun off from Lucasfilm as a separate corporation with $10 million in capital from Apple Computer co-founder Steve Jobs. At that time, Pixar primarily developed computer animation hardware, but Lasseter helped the company make a name for itself by creating acclaimed CGI short films such as "The Adventures of André and Wally B." (1984). After the spin-off, he would go on to produce "Tin Toy" (1988), which won an Oscar. The company transitioned into TV commercial production and projects such as the Computer Animation Production System for Disney. After the success of "Tin Toy", Pixar made a deal with Disney to produce feature films. The first of these films, 1995's "Toy Story", was a smash hit, which in turn led to additional successful films such as "A Bug's Life" and "Toy Story 2". By then, Jobs had become the owner of Pixar by keeping it alive with additional investments over the years; he had often considered selling it but changed his mind after "Toy Story".