For over a decade, Angelina Jolie’s portrayal of the “Mistress of All Evil” has redefined what it means to be a Disney villain. Far from the one-dimensional sorceress of the 1959 animated classic Sleeping Beauty, Jolie’s Maleficent became a symbol of maternal protection, tragic betrayal, and ultimate redemption. After the massive success of the first film in 2014 and the lore-expanding sequel Maleficent: Mistress of Evil in 2019, fans have been clamoring for a trilogy-capper.Credit: DisneyNow, a significant new rumor has surfaced that suggests Disney is doubling down on this dark fantasy universe—but with a surprising twist. According to a recent report from The DisInsider, Disney is not moving straight to Maleficent 3. Instead, the studio is reportedly developing a high-concept spinoff titled Fey Island. Even more intriguing? The fate of Maleficent 3 supposedly hinges entirely on how this new project performs.The Secrets of ‘Fey Island’: A National Geographic Journey Into MagicThe rumored spinoff, Fey Island, is described as a massive departure from the standard Disney live-action formula. Rather than following a traditional hero’s journey or a villain’s origin story, Fey Island is being pitched as a “National Geographic-style exploration of the magical world.”RUMOR: Disney Planning ‘Maleficent’ Spin-Off https://t.co/jcGsjZHEoy— Skyler Shuler (@SkylerShuler) February 26, 2026For fans of Mistress of Evil, the concept of the “Dark Fey” was one of the most compelling additions to the franchise. We were introduced to a hidden society of winged beings, each adapted to their specific environments—tundra, forest, desert, and jungle. Fey Island aims to pull back the curtain on these cultures as we’ve never seen before.The project is reportedly designed as an immersive visual experience. Imagine a film that spends as much time on the breathtaking landscapes and biological wonders of the Moors and the Fey homelands as it does on its narrative. The goal is to introduce audiences to several environments and cultures, offering a “heartfelt, emotionally raw story” that draws viewers deep into the Fey’s ecosystem. By leaning into a documentary-inspired aesthetic combined with cutting-edge CGI, Disney could be looking to create their own version of Avatar, focusing on the symbiosis between magical creatures and their world.Why a Spin-Off Instead of ‘Maleficent 3’?The question on every Disney fan’s mind is: Why now? And why a spinoff instead of finishing the trilogy?Credit: Disney The answer likely lies in the current state of the Disney franchise strategy. While the first Maleficent was a juggernaut, grossing over $758 million worldwide, the 2019 sequel saw a significant dip to $490 million. While still profitable, it signaled that the “standard” sequel model might be losing steam.By pivoting to Fey Island, Disney is attempting to “world-build.” They aren’t just selling a character anymore; they are selling a universe. If Disney can prove that audiences are interested in the world of Maleficent—not just the character herself—it opens the door for endless expansions, Disney+ series, and theme park tie-ins. It’s a low-risk, high-reward strategy: if Fey Island succeeds, it re-energizes the brand for a massive Maleficent 3 launch. If it falters, the studio can re-evaluate the direction of the third film without having already spent hundreds of millions on a direct sequel that might underperform.The Conditions for ‘Maleficent 3’: The Ultimate StakeThe most shocking part of the rumor is the “test” condition. According to sources close to the situation, Disney is using Fey Island as a litmus test. If the spinoff resonates with audiences and performs well at the box office (or on Disney+), the studio will officially greenlight and release the long-awaited third film.We already know that Maleficent 3 is in active development. Screenwriter Linda Woolverton, who penned the first two installments, has been attached to the script for some time. Furthermore, Angelina Jolie herself has confirmed in interviews that she has signed on for at least one more outing as the titular fairy. The director currently being eyed for the project is Jaume Collet-Serra, known for Jungle Cruise and Black Adam, suggesting that Disney wants a director who can handle massive scale and visual effects.By making Maleficent 3 dependent on Fey Island, Disney is effectively creating a “Phase One” for their live-action villains. It’s a bold move that mirrors the Marvel Cinematic Universe’s approach to standalone features leading into major events.The ‘Villains Land’ Connection: A Multi-Million Dollar InvestmentOne piece of evidence that makes this rumor incredibly credible is what’s happening on the ground at Disney Parks. Earlier today, reports surfaced from The Wrap that Disney is going “all in” on Maleficent for its upcoming Villains Land expansion. The company is reportedly spending hundreds of millions of dollars on a massive flagship attraction based on Maleficent’s dragon form and the dark magic of her realm.Credit: DisneyDisney is famously calculated with their synergy. They do not spend half a billion dollars on a theme park land for a franchise they intend to retire. The investment in Villains Land suggests that Maleficent is considered one of the “pillar” franchises for Disney entertainment over the next decade. Expanding the lore through Fey Island provides the backstory and visual inspiration needed to keep those theme park attractions relevant for years to come.What We Can Expect from ‘Fey Island’If the “National Geographic” tone holds true, Fey Island could be one of the most unique live-action films in Disney’s history. Fans can expect to see:Credit: Inside the MagicDeep Lore: An explanation of where the Fey came from and how they survived the human wars for centuries.New Characters: While Angelina Jolie may have a cameo, the film is expected to focus on new Fey leaders and protectors, perhaps showcasing the rise of a new generation of magic users.Stunning Visuals: Utilizing the latest “Volume” technology (used in The Mandalorian) to create 360-degree immersive magical environments.The film is rumored to be “emotionally raw,” suggesting it won’t shy away from the darker themes of environmental destruction and the struggle for survival—themes that have been at the heart of the Maleficent series since its inception.Final Thoughts: The Future of the MoorsWhile all rumors should be taken with a grain of salt until confirmed by the studio, the pieces of the puzzle are starting to fit together. Disney is at a crossroads, needing to innovate its live-action remakes, and a “nature documentary”- style spinoff set in a beloved magical world is precisely the kind of outside-the-box thinking the studio needs.Credit: DisneyWhether we get Maleficent 3 next year or three years from now, one thing is sure: the Moors are expanding. Between Fey Island and the massive Villains Land expansion, Disney is ensuring that Maleficent’s shadow will loom large over the entertainment landscape for a long time to come.Stay tuned to The DisInsider and official Disney channels as this story develops. If Fey Island is as immersive as it sounds, we might just be looking at the next great fantasy epic of the decade.What do you think? Are you excited for a Maleficent spinoff, or do you just want Disney to get on with ‘Maleficent 3’? Let us know in the comments below!The post Is ‘Maleficent 3’ Finally Happening? Inside Disney’s Bold Plan for a ‘Fey Island’ Spin-Off That Changes Everything appeared first on Inside the Magic.