NetEase will divest itself of many of its overseas studios, leading to their potential closure, according to a new report.
Multiple sources have confirmed that NetEase will be divesting itself of a majority of its overseas development teams, leading to the closure of many of its game studios in the event that they are unable to secure future funding. The company’s overseas studios include Quantic Dream, Grasshopper, Nagoshi Studio, Pincool, GPTRACK50 Studio, Studio Flare, Jackalyptic Games, Anchor Point Studios, T-Minus Zero Entertainment, Rebel Wolves, and Skybox Labs.
GameFile reached out to NetEase for clarification, the company’s representative declined to comment on the matter. Though, they did mention that all of NetEase’s studios and projects are in constant review and evaluation, and that the company will determine changes that need to be made throughout the process.
During its fourth quarter and fiscal year 2024 financial results, NetEase shared that its latest release, Marvel Rivals, topped Steam’s global top sellers chart shortly after its launch on December 6, 2024, amassing over 10 million registered users within 72 hours and over 40 million to date across all platforms, including PS5, Xbox Series X|S, and PC. Its Season 1 update in January, 2025 sparked another surge, claiming the #1 spots on Steam’s top sellers and most-played charts worldwide. The game reached an all-time peak concurrent player count of 644,269 on Steam, and it has succeeded in retaining a majority of this active player base.
Despite the success of Marvel Rivals, Thaddeus Sasser, the game’s Support Studio Director, recently shared that him and his team were laid off by NetEase.
Marvel Rivals is a 6v6 third-person hero shooter focused on player-versus-player combat. By selecting compatible characters, players can activate the Dynamic Hero Synergy system, enhancing their abilities and teamwork potential. The game also incorporates destructible environments, enabling players to reshape the battlefield—overseen by Galacta—to gain a strategic edge. As of February, 2025, the game includes 13 distinct maps.
