Sony Pictures has cancelled the release of controversial film The Interview, which depicts an assassination of North Korean leader Kim Jong-Un.
The company said the decision was made after major US cinema chains pulled out of showing the film following threats from hackers.
"In light of the decision by the majority of our exhibitors not to show the film The Interview, we have decided not to move forward with the planned 25 December theatrical release," a Sony Pictures statement said.
The studio added it was "deeply saddened at this brazen effort to suppress the distribution of a movie, and in the process do damage to our company".
US investigators have now linked the Sony hacking incident to North Korea and will reveal more details later.
The film stars Seth Rogen and James Franco
Sony Pictures said it stands by the makers of the film, which tells the fictional story of two journalists recruited by the CIA to assassinate the North Korean leader.
A hacker group calling itself the Guardians of Peace attacked Sony Pictures and released internal emails by senior company executives.
The group said audiences would face a "bitter fate" and people living close to cinemas showing the film should leave their homes.
"We will clearly show it to you at the very time and places The Interview be shown, including the premiere, how bitter fate those who seek fun in terror should be doomed to," they said.
"Soon all the world will see what an awful movie Sony Pictures Entertainment has made. The world will be full of fear.
"Remember the 11th of September 2001. We recommend you to keep yourself distant from the places at that time. (If your house is nearby, you'd better leave.)"
The Landmark's Sunshine Cinema in New York confirmed earlier that the film's Thursday premiere would not go ahead.
An official at the US Department of Homeland Security (DHS) said there was "no credible intelligence to indicate an active plot against movie theatres within the United States".
However, police in New York and Los Angeles said they were taking the threats "very seriously".
North Korea has publicly denied it was involved in the cyber attack, but it did issue a statement earlier this month describing the hack as a "righteous deed."
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