NetEase Games' Layoffs Despite Marvel Rivals' Success: A Strategic Shift in North America?
NetEase Games recently laid off US-based developers from the successful Marvel Rivals, sparking controversy within the industry. This follows a pattern of NetEase seemingly withdrawing from North American markets.
Layoffs Hit Marvel Rivals' US Team
On February 19, 2025, Marvel Rivals director Thaddeus Sasser announced on LinkedIn that he and other California-based developers had been laid off. This came as a surprise, given the game's recent success. Sasser highlighted the team's contributions and is now actively seeking new employment opportunities for his former colleagues, showcasing their talents on LinkedIn. He specifically praised Garry McGee, the game's technical designer, highlighting his skills and recommending him for future positions.
NetEase's North American Retreat?
While NetEase remains silent on the reasons for the layoffs, industry speculation points towards a broader strategic shift away from North America. Previous actions, such as withdrawing funding from Worlds Untold and ending the partnership with Jar of Sparks, support this theory. Marvel Rivals, developed by teams in both China and Seattle, saw its US-based design team affected despite their pivotal role in the game's creation.
Marvel Rivals Season 1 Update: Second Half Unveiled
New Content and Balance Changes
Despite the layoffs, Marvel Rivals continues to receive updates. The second half of Season 1, announced on February 19, 2025 via the game's YouTube channel, introduces new heroes (The Thing and Human Torch, completing the Fantastic Four), a new map (Central Park, featuring Dracula's castle), and balance adjustments.
Lead combat designer Zhiyong detailed the balance changes, addressing the "triple-strategist" meta by increasing energy costs for characters with rapid ultimate recharge. Several Vanguard characters are also receiving adjustments to their survivability and movement capabilities. Overpowered heroes like Storm and Moon Knight are being nerfed. A planned rank reset was later scrapped due to player feedback.
The update highlights a continued focus on the game's development despite the significant personnel changes within the US team. The juxtaposition of success and layoffs raises questions about NetEase's long-term strategy in the North American gaming market.
