Trending Now - Netease Halts Funding for Yakuza Creator's Studio, Threatening Game Development

WHO:

NetEase Inc., Nagoshi Studio, Toshihiro Nagoshi, Daisuke Sato

WHAT:

NetEase will cease funding Nagoshi Studio in May 2026.

Employees were informed of the studio's pending closure on Friday, March 6, 2026.

Nagoshi Studio is seeking new sponsorship and is in discussions with NetEase about acquiring rights and branding.

The game "Gang of Dragon" requires an additional £33.1 million ($44.4 million) to complete development.

WHERE:

Nagoshi Studio is based in Tokyo, Japan.

WHEN:

Nagoshi announced his departure from Sega in October 2021.

Funding will stop in May 2026.

Employees were informed on Friday, March 6, 2026.

WHY:

The funding cut is part of NetEase's broader strategy to shrink its game development activities.

HOW:

NetEase confirmed the decision through a spokesperson.

(UPDATED March 8, 2026 05:19 UTC)

NetEase has announced that it will cease funding Nagoshi Studio in May 2026, a decision confirmed by a spokesperson. Employees were informed of the studio's impending closure last Friday, March 6, and the studio is currently seeking new sponsorship while negotiating with NetEase regarding rights and branding. Additionally, the development of the game "Gang of Dragon" is in need of an extra £33.1 million, or $44.4 million, to reach completion.