NetEase Suspends Funding for Yakuza Studio, Highlighting Shift in Game Development Investment

· 5 min read

The anticipated debut of Gang of Dragon from Nagoshi Studio is facing potential setbacks, as reported by a Bloomberg report. According to the publication, Chinese tech giant NetEase will cease financial support for Nagoshi Studio beginning in May. This information was corroborated by the studio’s employees and a representative from NetEase.

The report highlights that NetEase made the decision to discontinue funding after discovering that Nagoshi Studio required $44.4 million to finish the project. Bloomberg noted that the studio is actively seeking alternative investors but has yet to secure any commitments. The report also mentioned that while the studio could continue development independently, it would be liable for repaying NetEase for any associated expenses related to retaining the brand or intellectual property.

Although Nagoshi Studio had been developing Gang of Dragon since its establishment, the title gained broader public attention through a trailer announcement at The Game Awards 2025. This action-adventure game set in Tokyo features Ma Dong-Seok, a South Korean actor known for his role in Train to Busan and his appearance in Marvel's Eternals. At this point, Nagoshi Studio may be on the brink of becoming another casualty of NetEase's strategic shifts, similar to the closure of Ouka Studio in 2024.

This article originally appeared on Engadget at https://www.engadget.com/gaming/netease-is-reportedly-pulling-funding-for-yakuza-creators-studio-182945690.html?src=rss