6
Credit: LucasfilmNext year will mark a massive step for the Star Wars franchise, but it’s one that also comes with a lot of pressure.
The galaxy far, far away is finally returning to theaters. After nearly seven years without a Star Wars film on the big screen, Lucasfilm is set to bring fans back to theaters next year with The Mandalorian and Grogu, a cinematic continuation of the hit Disney+ series The Mandalorian. Directed by Jon Favreau, the project marks a major step forward for the Mando-Verse and the next chapter in Disney’s evolving Star Wars strategy.
The film, which will see Pedro Pascal reprise his role as Din Djarin, was announced in January 2024 to the surprise of many fans. It was revealed alongside Dave Filoni’s Ahsoka Season 2, part of the broader New Republic era that continues to expand across multiple interconnected stories. The announcement came less than a year after Lucasfilm President Kathleen Kennedy revealed three other Star Wars projects were in the works from directors James Mangold, Sharmeen Obaid-Chinoy, and Dave Filoni.
Despite those high-profile films being teased at Star Wars Celebration 2023, Lucasfilm’s first title out of the gate will be The Mandalorian and Grogu, followed by Shawn Levy’s Star Wars: Starfighter (2027). Plot details still remain slim, but the film will introduce several new characters to the Star Wars universe, including Sigourney Weaver (Alien) as New Republic leader Ward and The Bear star Jeremy Allen White as Rotta the Hutt.
“The evil Empire has fallen, and Imperial warlords remain scattered throughout the galaxy,” the synopsis reads on StarWars.com. “As the fledgling New Republic works to protect everything the Rebellion fought for, they have enlisted the help of legendary Mandalorian bounty hunter Din Djarin (Pedro Pascal) and his young apprentice Grogu (as himself).”
Watch the trailer here:
The Return to Theaters After Seven Years
The Mandalorian and Grogu is scheduled for release on May 22, 2026, marking the first theatrical release of Star Wars since J.J. Abrams’ Star Wars: Episode IX—The Rise of Skywalker in 2019. That film closed out Disney’s sequel trilogy and divided fans and critics alike, prompting ongoing questions about the franchise’s creative direction under Disney’s stewardship.
After refuting persistent rumors about her departure from Lucasfilm, Kathleen Kennedy has reaffirmed her leadership role and offered a glimpse at what’s next for Star Wars on the big screen. Following The Mandalorian and Grogu, Kennedy confirmed that director Shawn Levy’s film is next in line.
The creative behind 2024’s Deadpool & Wolverine and Stranger Things is helming a standalone Star Wars project starring Ryan Gosling and Amy Adams. While no official plot details have surfaced, Levy and Gosling’s collaboration on Starfighter has already generated considerable excitement among fans.
A Smaller Budget With Big Potential
As anticipation grows, a new report suggests that The Mandalorian and Grogu may be poised for box office success for reasons beyond its established fanbase. According to Collider, “The Mandalorian and Grogu appears to have an overall production budget of $166.4 million and was the recipient of a bountiful tax credit from the state of California to the tune of $21.75 million, which certainly helped when it came to the bean counting at the end of the day.” The figures were disclosed by the California Film Commission.
That $166 million price tag represents a significantly leaner production compared to previous Star Wars films produced under Disney. For context, Rogue One: A Star Wars Story (2016) remains one of the least expensive films of the modern era, while Rian Johnson’s Star Wars: Episode VIII—The Last Jedi (2017) exceeded $300 million and Abrams’ The Rise of Skywalker neared $600 million in production costs.
Lucasfilm’s groundbreaking StageCraft technology, also known as “The Volume,” is likely a key factor in keeping costs down. Developed for The Mandalorian’s first season, the immersive LED-based virtual production system has revolutionized how Star Wars—and Hollywood at large—create expansive worlds with greater efficiency and creative control.
Positioned for Success
Despite a lower budget, expectations for The Mandalorian and Grogu are high. The film benefits from years of goodwill earned by the Disney+ series, which reintroduced audiences to the grit, heart, and mythology of the Star Wars universe through the bond between the armored bounty hunter Din Djarin and his foundling companion, Grogu.
As the film bridges the gap between streaming and theatrical storytelling, it also represents a calculated gamble for The Walt Disney Company. While many modern audiences have grown accustomed to watching Star Wars content from home, the enduring popularity of Mando and Grogu could reignite the excitement of seeing the saga unfold on the big screen.
Still, it remains to be seen whether fans will turn out in droves for a theatrical release or wait for its inevitable Disney+ debut. With a modest budget and the massive built-in appeal of its leads, The Mandalorian and Grogu could prove to be a financial and creative sweet spot for Lucasfilm—one that demonstrates how Star Wars can thrive without the $300+ million price tags of its predecessors.
The Missing Heroes
Inititally, the film was expected to include Katee Sackhoff’s Bo-Katan Kryze, a key figure in the New Republic era and one of the franchise’s most prominent female warriors. Having grown from her origins in Star Wars: The Clone Wars to a major presence in The Mandalorian’s third season, Bo-Katan’s inclusion would have further cemented the film’s ties to the established Mando-Verse.
However, recent reports indicate that neither Sackhoff nor The Armorour star Emily Swallow will be featured in Favreau’s The Mandalorian and Grogu, further suggesting that the upcoming movie could just be akin to an extended episode of the television show. Only time will tell.
In a similar vein, Rosario Dawson’s Ahsoka Tano is not expected to appear in the movie, given the conclusion of her Disney+ series, which left her stranded on the distant planet Peridea in another galaxy. With a second season of Ahsoka in development, it’s likely her next chapter will remain within her own self-titled series.
More Mandalorian Franchise Cuts
Reports surrounding Ahsoka Season 2 suggest the series has headed into production with a smaller budget than its first season. During an appearance at Comic-Con Scotland, Rosario Dawson, who stars as Ahsoka Tano, reportedly revealed that Disney has reduced the show’s budget compared to Season 1, per The Direct. This would mark the first time a live-action Star Wars series on Disney+ has seen a cut in funding between seasons.
Season 1 of Ahsoka is believed to have cost over $100 million to produce across its eight episodes, making it one of the more expensive Star Wars shows on the platform. With less money to work with, Season 2 will likely have to get creative—perhaps relying more on character-driven storytelling, practical sets, or tighter visual effects rather than constant large-scale spectacle. Despite this, Dawson has suggested that the upcoming season will still aim to “go bigger” in terms of narrative and ambition.
If these reports are accurate, Ahsoka will represent a notable shift for Disney’s Star Wars output. Most series under the banner, including The Mandalorian and Tony Gilroy’s Andor, have maintained or even expanded their budgets with each subsequent season. A leaner Ahsoka Season 2 could become a proving ground for how the franchise adapts to tighter financial constraints while still striving to deliver a cinematic experience worthy of the galaxy far, far away.
Coming Soon
Further down the line, Dave Filoni is set to direct his own Mando-Verse feature, which could be an “Avengers-level” event if this is where the battle against Grand Admiral Thrawn (Lars Mikkelsen) comes to its conclusion. It will likely bring together storylines from The Mandalorian, Ahsoka, The Book of Boba Fett, and more.
For now, however, The Mandalorian and Grogu stands as Star Wars‘ next major step—one that blends big-screen spectacle with the intimacy and emotion that made The Mandalorian a global phenomenon.
The Mandalorian and Grogu opens in theaters on May 22, 2026, and stars Pedro Pascal as Din Djarin, Grogu as himself, Sigourney Weaver as Ward, Jeremy Allen White as Rotta the Hutt, Jonny Coyne as an Imperial Warlord, Steven Blum as Garazeb “Zeb” Orrelios, and Dave Filoni as Trapper Wolf.
How do you feel about the Mando-Verse projects receiving lower budgets for their next installments? Let Inside the Magic know in the comments down below!