I dunno if he's kicking himself. If it was still a part of LFL, I don't think the studio would be where it is today. I don't think it would have received the necessary resources ($) to complete a picture the way they wanted. The only reason that Pixar is the studio it is today is because they were cut free of any real oversight. They were left alone to be as creative as possible and they had a boss in Steve Jobs who is renowned for allowing his employees to think waaaaaaayyy outside the box. Lucas, not so much.