Long-time Sega producer Toshihiro Nagoshi, known for his work on the Yakuza/Like a Dragon series, made a bold move in 2021 by leaving the Sonic publisher to establish a new studio under the umbrella of Chinese gaming giant NetEase. With a team of about 80 people, Nagoshi embarked on creating a new open-world action drama, reminiscent of his previous successful projects. The gaming community eagerly anticipated the unveiling of this new franchise, eager to see what innovative gameplay experiences Nagoshi and his crew would deliver.
However, recent reports suggest that Nagoshi’s ambitious project may be facing unexpected challenges. NetEase, the company backing Nagoshi’s new venture, has reportedly decided to scale back its gaming investments, including those in Japan where Nagoshi and other veteran creators were working on new games. According to Bloomberg, NetEase has communicated to its Japanese partners, including Nagoshi, that there will be no additional funding or time allocated to ongoing projects. This shift in strategy has left many in the industry wondering about the fate of Nagoshi’s highly-anticipated game.
The decision to withhold marketing and promotional support for the games being developed in Japan could have significant implications for Nagoshi’s project. Traditionally, a substantial portion of a game’s budget is allocated towards marketing and promotion, crucial for generating buzz and attracting players. Without this support, Nagoshi’s game may struggle to gain visibility in a competitive gaming landscape. Analysts speculate that a new intellectual property (IP) might be necessary to ensure the game stands out among the crowd, should it ever reach completion.
In a similar vein, NetEase’s acquisition of Grasshopper Manufacture, the studio behind Let It Die and No More Heroes, in 2021 raised hopes for exciting new projects. Director Goichi “Suda51” Suda hinted at plans for innovative games developed by younger talent within the studio. However, the recent pullback by NetEase raises doubts about the future of these projects, as the company appears to be reevaluating its gaming portfolio and investment strategies.
This apparent volatility within NetEase’s gaming division is not an isolated incident. Reports suggest that the company’s CEO contemplated cancelling Marvel Rivals, a popular multiplayer game, due to licensing issues with Disney. The team briefly considered using original characters before ultimately deciding to stick with iconic Marvel superheroes like Captain America and Spider-Man. This episode underscores the complexities of navigating the gaming industry, where licensing agreements and financial considerations can significantly impact the development and release of games.
As the gaming community awaits further updates on Nagoshi’s project and the future of NetEase’s gaming initiatives, the industry remains in a state of uncertainty. The challenges faced by established creators like Nagoshi and Suda51 highlight the delicate balance between creative vision, financial backing, and market forces in the competitive world of game development. Only time will reveal the ultimate fate of these projects and the impact of NetEase’s shifting priorities on the gaming landscape.
