Disney is developing both 'Frozen 3' and 'Frozen 4' simultaneously, as confirmed by director Jennifer Lee. The production team is reportedly working in a divided space, with one half dedicated to 'Frozen 3' and the other to 'Frozen 4', allowing for a collaborative approach between the two projects. This dual production strategy indicates Disney's commitment to expanding the beloved franchise, which has garnered significant popularity since the release of the original film in 2013.