NetEase, the developer behind the hit game Marvel Rivals, has announced layoffs within its Seattle-based design team, citing "organizational reasons." The news broke overnight when Thaddeus Sasser, the game director for Marvel Rivals, shared on LinkedIn that he and his team were let go. Sasser expressed his confusion and frustration about the industry, stating, "This is such a weird industry. My stellar, talented team just helped deliver an incredibly successful new franchise in Marvel Rivals for NetEase Games... and were just laid off!" Despite the setback, Sasser remains optimistic, urging the community to help find new opportunities for his former colleagues, emphasizing, "Oh well! Times are tough all over - Let's find these incredible people new jobs, because we all need to eat, right? :D"
The gaming community responded with a mix of shock and anger, particularly given the success of Marvel Rivals. Since its launch in December, the free-to-play hero shooter has amassed over 20 million downloads and achieved significant peak concurrent player numbers on Steam. Sasser's LinkedIn profile highlights that his team was instrumental in game and level design, providing guidance, strategy, and design direction over the past few years.
In a statement to IGN, NetEase confirmed the layoffs but did not disclose the number of affected employees. "We recently made the difficult decision to adjust Marvel Rivals’ development team structure for organizational reasons and to optimize development efficiency for the game," the company explained. They acknowledged the hard work and dedication of the impacted team members and assured that they would be treated with confidentiality and respect.
NetEase emphasized that these layoffs would not affect the ongoing support for Marvel Rivals, as the primary development team remains based in China. "We want to reassure our fanbase that the core development team for Marvel Rivals, which continues to be led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen in Guangzhou, China, remains fully committed to delivering an exceptional experience," NetEase stated. They also highlighted their commitment to further investing in the game, promising new superhero characters, maps, features, and content to enhance the live service experience for players worldwide.
These layoffs are part of a broader trend at NetEase, which has recently scaled back several international investments and closed studios in the U.S. and Japan. Notable closures include Ouka Studios, the developer behind Visions of Mana, and Worlds Untold, led by Mass Effect alum Mac Walters, which paused operations after parting ways with NetEase in November. Additionally, in January, NetEase cut ties with Jar of Sparks, a studio founded by Halo and Destiny 2 veteran Jerry Hook in 2022.
