Last October, DreamWorks exited their distribution relationship with Paramount and inked a deal with Universal instead, the details of which are rather boring. Suffice to say, though, that Universal’s announcement today that the deal = not so much anymore is a blow to DreamWorks (since it included marketing $ to the tune of half a billion clams). So now Disney is thinking of stepping in.

Yes, Disney.

You may have heard of them. They make a lot of kids movies. And they own that 3D animation studio that’s done a few little films…you know the one…PIXAR. So Disney would be distributing both PIXAR and DreamWorks films? Hmm.

What if they end up getting cosier than just distribution? Could there exist a crazy, mixed-up future where Sheriff Woody and Shrek work together to rescue Buzz from the island of Madagascar, where he’s being imprisoned in an Antz colony by the evil Master Control Program?

UPDATE: The deal with Disney has been finalized. You can read the studio stroke-fest at THR here.

Hollywood Reporter