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Because they're looking for the easiest way possible to make more millions of dollars than they already have with as little effort as possible. They haven't learned jack since their embarrassing direct-to-video sequels trend, and once they stop this embarrassing trend they'll just go on another one.
shareI'll comment on the "little effort as possible" aspect. They throw a crap-ton of $$ at these retro projects, so it's not just a little effort. It's taking a safe and hopefully lucrative road. But it's not without effort.
shareFor the art.
shareBecause Beauty and the Beast made a fortune, so they'll do this for as many movies as they can until they stop making money. Aladdin seems to have worked out, and it looks like this one will too.
shareHowever, I think making The Lion King as a "live-action" adaptation is too far. I mean, it's not even live-action. It's all CGI anyway.
I would rather see this movie remade into an animated 3D, Toy Story style. Kids would surely like that better.