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Set before events of The Curse of the Black Pearl, the game was to follow James Sterling, a pirate captain whose main mission was to travel across the Caribbean Sea to make a reputation for himself. Although little was unveiled about the story, it was intended to be independent from the films' main arc and include new characters. Gameplay was to have emphasized role-playing elements, including real-time combat and weapon customization.
In October 2010, Disney Interactive Studios announced that Armada of the Damned's development team would be laid off as part of a restructuring program. The restructuring reduced the studio's staff by more than 100 people and led to the cancellation of Armada of the Damned.
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