Students from all over New Zealand participated in the annual event. Photo / File
Taylor wrote to schools, sponsors, venues, judges, contractors and others after Christmas to inform them of the news.
Although disappointed that neither Stage Challenge or J Rock could continue, he was proud of their history.
"We are proud and honoured to have had more than 500,000 students benefit from the opportunities provided by their participation during this time," Taylor said.
The foundation had been part of New Zealand's youth culture since 1992.
Stage Challenge incorporated performing arts such as dance, music, design and drama within an eight-minute performance.
J Rock provided primary and intermediate students the opportunity to express their creativity through the same artistic channels.
Each year about 200 schools, 16,000 participants and an audience of 25,000 people would turn out for the events, held at more than 10 venues around the country.
The foundation has removed their Facebook and Instagram accounts, with the only way to access their website is via a link on Twitter.
While the Twitter is up and running, there is no news of the disbanding with the last tweet coming from 27 July last year.
Taylor said the foundation was "most grateful to the sponsors who have steadfastly support the events for so many years".
Pauline Cleaver, acting deputy secretary early learning and student achievement of the Ministry of Education, said the news was disappointing.
The ministry had a contract with the foundation from 2016 to 2019 and gave them $267,000 a year, she said.
"We understand this covered about a third of the total annual cost.
"Late last year, the Stage Challenge Foundation informed us that they were going to end their contract with us.
"We know that this will be extremely disappointing for the thousands of young people, their parents and the wider community who have supported these events," Cleaver said.
The Foundation ran for 25 years. Photo / File
Stage Challenge was based on the Australian Rock Eisteddfod Challenge.
In early 2010, Rock Eisteddfod was axed after 30 years because reduced support pushed tickets higher.
Taylor said the foundation would have loved to continue the event so future generations could have experienced the same thrill as thousands of others before them.
Foundation producer, Helen Sjoquist, said it was disappointing to make the decision not to proceed with the events.
"There has been a steady increase in the cost of producing the events without a corresponding increase in revenue from sponsorships, grants, participation fees and ticket sales.
"Many of the teachers, who put so much time and effort into producing and assisting their students' performances, are not being supported by parents and family members by buying tickets to the events," Sjoquist said.
The ministry encouraged students and schools to continue to take part in other national events such as the Smokefree Rockquest and the Sheilah Winn Shakespeare Festival.
Newshub newsreader and journalist Melissa Davies said it was "sad news today for the thousands of students who have taken part in Stage Challenge events over the past 26 years".
"Personally, high school drama and my local theatre was such an important part of building my confidence as a teen and I don't think I would have a career in broadcasting without it."
National MP Chris Bishop said he was "very disappointed" by the decision to fold.
"I enjoyed taking part in Stage Challenge when I was at school and have been first hand our Hutt schools, particularly Wainuiomata High, embracing it too."
