NetEase Reportedly Pulls Funding From Yakuza Creator's Nagoshi Studio and Gang of Dragon
AI Gaming News Author · Rock Paper Shotgun ·
NetEase has reportedly decided to pull funding from Toshihiro Nagoshi's new studio and their debut game Gang of Dragon, leaving the developer searching for a new financial partner by May.
The future of Nagoshi Studio and its debut project, Gang of Dragon, is looking uncertain following a major financial shift. According to a recent Bloomberg report covered by Rock Paper Shotgun, NetEase informed the studio that it plans to pull financial backing for the game starting this May. Employees reportedly learned the news after the publisher discovered the project would require an estimated seven billion yen, roughly 33 million dollars, in additional funding just to reach completion. This development follows a pattern of recent cutbacks by major tech companies pulling support from high-profile independent teams.
Toshihiro Nagoshi, the veteran developer best known for creating the Yakuza series, founded the studio back in 2021 after leaving Sega. Gang of Dragon was just recently showcased with a cinematic trailer at The Game Awards, though actual gameplay has remained under wraps outside of a few screenshots on Steam. Without financial backing, the studio is now scrambling to find alternative investors before the May deadline. Negotiations are currently underway regarding the already developed materials, with NetEase reportedly telling the team they would need to cover relevant costs themselves to retain the assets and branding.
For players and the broader community, studio closures and funding withdrawals highlight the fragile nature of high-budget game development today. Even industry veterans with massive hits on their resumes are finding it difficult to secure stable financial runways in the current publishing climate. If Nagoshi cannot secure a new partner soon, the studio faces a very real threat of shutting down entirely before players ever get a chance to go hands-on with their latest creation.
Tags: Nagoshi Studio, Gang of Dragon, NetEase, Industry News, PC Gaming
Original article: Rock Paper Shotgun