The big screen adaptation of The Beatles’ popular YELLOW SUBMARINE has found itself in choppy waters following what is being described as “cost cutting measures” by Walt Disney Studios. The studio, which recently spent $4 billion in an ongoing merger with Marvel Comics, is pulling the plug on ImageMovers Digital – the production company behind the long awaited project.

ImageMovers, which is wholly run by director Robert Zemeckis, is behind recent motion-capture films “The Polar Express“, “Beowulf” and “A Christmas Carol“, the technology behind these films was intended to be used to bring The Beatles’ psychedelic adventure to life. The move to close ImageMovers Digital will result in 450 job losses in the industry.

It is thought that the move is the result of disappointing feedback from A Christmas Carol, whose animation appeared dated in the wake of James Cameron’s AVATAR. It is also thought that Disney’s pursuit of 3D technology (ala Alice in Wonderland) has rendered their use for the studio obsolete.

ImageMovers is currently completing production on “Mars Needs Moms,” which the studio is hoping to release in March 2011. The move however, puts into question the fate of Yellow Submarine, a project first reported here on FilmShaft back in August last year.

While Disney have said that they’re hoping to draft a deal with Zemeckis and his IMD partners, Jack Rapke and Steve Starkey in order to bring Submarine to the big screen, no such deal has yet materialised. Should Disney go ahead with production, it is likely we will be seeing a 3D version of the film rather than the mo-cap technology originally intended for use.