NetEase appears to be pulling back its global game development ambitions. A new round of reports suggests that the company is looking to divest or shut down a significant number of its overseas studios.
According to Game File, NetEase is aggressively seeking buyers for several of the studios it has previously invested in, with a source claiming that more than a dozen teams may be affected. What’s concerning is that if these studios fail to secure new funding, they may be forced to shut down, and hence, a resource cut.
The move follows years of expansion, during which the Chinese gaming giant acquired or established several Western and Japanese studios to produce big-budget titles.
Alongside this ongoing internal turmoil, NetEase had already begun a wave of layoffs in the last couple of years outside China. This was hinted back in 2024 when NetEase decided to shut down Ouka Studio, the creator of Visions of Mana.
Additionally, NetEase’s Japanese studios, including Nagoshi Studio led by former SEGA boss Toshihiro Nagoshi, have been given time to complete ongoing projects but will not receive further financial support, as reported by Bloomberg.
While NetEase has yet to comment on the scale of these potential closures, a company representative stated that all studios and projects are under ongoing evaluation.
