Overview
- A NetEase spokesperson confirmed to Bloomberg that financing for Nagoshi Studio will stop in May, without detailing reasons or exit terms.
- Employees were notified of the decision on March 6, according to people familiar with the situation.
- Sources said the move came after NetEase determined at least ¥7 billion (about $44.4 million) more was needed to finish the studio’s first title, Gang of Dragon.
- Nagoshi Studio is seeking new sponsors without success so far and is negotiating with NetEase over existing materials, with the publisher indicating the team can continue only if it pays to retain assets and branding.
- The decision fits a wider pullback by NetEase from international AAA projects since 2024 that has included multiple studio closures and divestments.