NetEase, the developer behind the hit game Marvel Rivals, has recently confirmed layoffs within its Seattle-based design team, citing "organizational reasons." This unexpected move came to light when Thaddeus Sasser, the game director for Marvel Rivals, shared on LinkedIn that he and his team were let go despite their significant contributions to the game's success.
In his LinkedIn post, Sasser expressed the surreal nature of the gaming industry, highlighting the irony of being laid off after helping to launch the highly successful Marvel Rivals. "This is such a weird industry," he remarked, emphasizing the need to find new opportunities for his talented former colleagues amidst tough times.
The gaming community has reacted with a mix of shock and outrage, especially considering Marvel Rivals' impressive performance. The free-to-play hero shooter has amassed over 20 million downloads since its debut in December and achieved significant peak concurrent player counts on Steam. Sasser's team was instrumental in the game's development, focusing on game and level design, providing strategic guidance over the past few years.
NetEase issued a statement to IGN, acknowledging the layoffs but not disclosing 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 statement read. They expressed appreciation for the hard work of those impacted and assured respectful treatment and recognition of their contributions.
Despite the layoffs, NetEase emphasized that the ongoing support for Marvel Rivals would not be affected. The core development team, led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen in Guangzhou, China, remains fully committed to enhancing the game. "We are investing more, not less, into the evolution and growth of this game," NetEase stated, promising new superhero characters, maps, features, and content to enrich the live service experience for players worldwide.
This recent layoff is part of a broader trend at NetEase, which has scaled back on several international ventures. 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 following a split with NetEase in November. Earlier this year, NetEase also cut ties with Jar of Sparks, founded by Halo and Destiny 2 veteran Jerry Hook in 2022.
