Today : Feb 20, 2025
19 February 2025

NetEase Cuts Marvel Rivals Team Amid Success

Despite the game's remarkable launch and popularity, layoffs raise questions about the company's focus.

NetEase Games has recently stirred confusion and concern within the gaming community by laying off several developers from its successful multiplayer shooter, Marvel Rivals, primarily based out of its Seattle studio. The decision to let go of talented team members—despite the game’s significant success—has raised questions about the company’s direction and treatment of its employees.

The shocking news broke on LinkedIn, where Thaddeus Sasser, the game director for Marvel Rivals, voiced his disbelief. "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!" he wrote, setting the tone for the collective sentiment of confusion and disappointment among those affected.

Level designer Jack Burrows also shared his experience, noting, "Welp, just got laid off from my job working on Marvel Rivals with NetEase. Was an enormous pleasure to work with my American coworkers who join me in this sad culling." The departures reportedly affected all six North American-based developers responsible for various aspects of the game's design.

Since its launch last December, Marvel Rivals has been nothing short of phenomenal, garnering more than 20 million players worldwide shortly after release. The game generated approximately $136 million during its first month alone, corroborated by various industry reports. It stands tall among the top five games across platforms like PC, PlayStation, and Xbox, proving its capability to break through the increasingly saturated market of live-service games.

Despite these impressive metrics, it appears NetEase's oversight extends beyond the immediate success of Marvel Rivals. Reports suggest the company is reevaluing its gaming portfolio, potentially signaling larger cutbacks on its North American investments. This reassessment has raised alarms, particularly for developers who thought they were contributing to one of the year's breakout hits.

Concerns about the gaming industry’s sustainability are at the forefront, as layoffs have continued to ripple through the sector following periods of growth. Game studios like Liquid Swords, another development house, recently let go of employees citing prioritization of long-term sustainability, drawing parallels with NetEase’s decision to downsize.

What is particularly perplexing is the timing of these layoffs. Just as the roster of playable characters expands with the introduction of The Human Torch and The Thing, which had fans excited, NetEase also seems to have placed its focus predominantly on the core team based out of China. Speculations arise whether the strategy was to bring the development efforts back to China once the game had found its footing.

Insiders and analysts alike are voicing discontent, with some observers lamenting the industry's current climate. The layoffs at NetEase, especially when juxtaposed with the success of Marvel Rivals, present concerning trends about job security, leading to calls for more humane treatment of developers. "It feels like we’re banging our heads against the wall, but it’s necessary to hammer home how unacceptable these layoffs are—especially with projects as beloved as Marvel Rivals," one industry commentator noted.

This sentiment reflects broader frustrations about how profitability metrics are affecting the decisions of game companies, often at the expense of the very people creating the games. Developers deserve greater respect for their contributions and hard work, which often goes unnoticed until unfortunate events like these occur.

While Marvel Rivals continues to thrive, regularly commanding over 200,000 concurrent players on Steam, the future of its North American team remains uncertain. Will NetEase continue to focus solely on its operations overseas, or is the recent bout of layoffs indicative of something more fundamental? Only time will tell how this decision will impact the community surrounding Marvel Rivals, but as the industry faces these harsh realities, calls for change grow ever louder.

Fans can only hope for the best for the team, who poured their hearts and skills to create what has turned out to be one of the most successful games of the year, as they seek new opportunities following this distressing chapter.