NetEase, the developer behind the successful free-to-play hero shooter Marvel Rivals, has confirmed layoffs within its Seattle-based design team due to "organizational reasons." Game Director Thaddeus Sasser announced on LinkedIn that he and his team were let go, despite their significant contributions to the game's success.
Sasser expressed his surprise and frustration at the situation, highlighting the odd nature of the gaming industry. "This is such a weird industry," he remarked. "My stellar, talented team just helped deliver an incredibly successful new franchise in Marvel Rivals for NetEase Games...and were just laid off!" He remains optimistic, calling on the community to help find new opportunities for his former team members.
The announcement has sparked a wave of shock and anger within the video game development community, especially given Marvel Rivals' impressive performance. Since its launch in December, the game has garnered over 20 million downloads and achieved significant peak concurrent player numbers on Steam.
Sasser's LinkedIn profile indicates that his team was instrumental in game and level design, providing guidance, strategy, and direction over the past couple of years. NetEase confirmed the layoffs to IGN, but did not disclose the number of affected employees. In their statement, they explained, "We recently made the difficult decision to adjust Marvel Rivals’ development team structure for organizational reasons and to optimize development efficiency for the game. This resulted in a reduction of a design team based in Seattle that is part of a larger global design function in support of Marvel Rivals."
NetEase emphasized that the layoffs would not affect the ongoing support for Marvel Rivals. The primary development team, led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen in Guangzhou, China, remains committed to the game's growth. "We want to reassure our fanbase that the core development team for Marvel Rivals...remains fully committed to delivering an exceptional experience," NetEase stated, adding that they are "investing more, not less, into the evolution and growth of this game."
This recent round of layoffs is part of a broader trend at NetEase, which has been scaling back its overseas investments. The company has closed studios in the U.S. and Japan, including Ouka Studios, the developer of Visions of Mana. Additionally, Worlds Untold, led by Mass Effect alum Mac Walters, paused operations after parting ways with NetEase in November, and Jar of Sparks, founded by Halo and Destiny 2 veteran Jerry Hook in 2022, was cut in January.
