Matt Belloni, in his Puck newsletter, broke the news that Kathleen Kennedy is finally stepping down as president of Lucasfilm.

It’s happening: After years of speculation, and polite urging from observers like me, Kathleen Kennedy has informed Disney, as well as friends and associates, that she will exit as Lucasfilm president by the end of the year, per three sources. Disney and Kennedy’s personal publicist declined to comment.

Not a huge shock, of course. Kennedy will be 72 in June, and the legendary movie producer will have run Lucasfilm for 13 years as George Lucas’s handpicked steward under Disney. Kathy was actually planning to leave last year, I’m told, and had even set up an exit interview with a journalist, but she decided to stay for one more year.

She wasn’t going to leave unless it was on her terms, and no one was showing her the door. Alongside her husband, filmmaker Frank Marshall, she produced many of the most iconic films of all time and has strong relationships with Steven Spielberg and George Lucas.

For years, she was the scapegoat for any actual or perceived issues within the Star Wars franchise. She did oversee The Force Awakens, which was a massive hit. Whether you love or hate the sequel trilogy, the first movie was good. Not great, but good. My issue with Kennedy was her apparent lack of creative control over this new trilogy. Kennedy and the others in charge did not establish a creative timeline or strategy beyond the first film, which was a significant mistake. I admire Rian Johnson as a writer and director, but he failed to grasp what J.J. Abrams achieved in the first film, leading to a lack of overall direction and, you know, a cohesive story to guide them. Consequently, that complicated the third film, resulting in a poorly executed and, ahem, forced narrative.

On the flip side, she learned her lesson about having a singular visionary creator or director at the helm of projects that lead to success. People often forget that The Mandalorian was a massive risk as the first Star Wars streaming show. However, it benefited from a visionary creative director in Jon Favreau. The same can be said for Tony Gilroy with the Rogue One movie, which directly led to the best Star Wars streaming show, Andor.

No one bats 1.000, so Solo was a misstep, and turning the Obi-Wan Kenobi movie into a streaming show did it no favors, even though it features arguably one of the top three lightsaber duels. I liked Ahsoka and The Acolyte but didn’t love them. The Skeleton Crew was old-school Amblin fun.

Now, we are at the end of Kennedy’s presidency. I’ll be shocked if anyone other than Dave Filoni takes over. I doubt Kevin Feige is interested in the gig, even though many fans hope it comes to pass. If it’s Filoni, we will see more Ahsoka and maybe finally get the standalone Rey movie.

I can’t help but think this significant change indicates the Star Wars franchise is set to expand even further. The second season of Andor is coming soon, and next year, we’ll see Favreau’s The Mandalorian and Grogu. Prepare for even more “Baby Yoda” everywhere.

I’m sure Kathleen Kennedy will look back with pride.

UPDATE 2.28: It isn’t quite a done deal.

“The truth is, and I want to just say loud and clear, I am not retiring. I will never retire from movies. I will die making movies. That is the first thing that’s important to say. I am not retiring.” That’s what Kennedy told Deadline‘s Mike Fleming Jr. about the report she’s stepping down as the leader of the Star Wars franchise and Lucasfilm this year. Instead, she says she had long talks about who might take over.

This is utter bullshit. She did not like the cheering when Belloni broke the story. So now she’s backpedaling and saying she’s not retiring. I’m sure she will have her name on several projects through the next several years, but she’s not running Lucasfilm in 2026. I know this. She knows this. Everybody knows this.