NetEase, the developer behind Marvel Rivals, has confirmed layoffs within its Seattle-based design team, citing "organizational reasons."
Earlier, Marvel Rivals Game Director Thaddeus Sasser announced on LinkedIn that he and his team had been let go.
"It’s a strange industry," Sasser wrote. "My outstanding and talented team just helped deliver Marvel Rivals—an incredibly successful new franchise for NetEase Games…"
"…and we were just laid off!"
"Times are tough all around, though—so let’s help these amazing people find new roles. We all need to make a living, don’t we? :D"
The gaming community reacted with a mix of surprise and frustration to the news, especially given Marvel Rivals’ breakout success. The free-to-play hero shooter has surpassed 20 million downloads since its December launch and recorded high peak concurrent player counts on Steam.
According to Sasser’s LinkedIn profile, his group was responsible for game and level design, offering "guidance, strategy, and design direction over the past few years."
NetEase provided IGN with a statement confirming the job cuts but did not specify the number of employees affected.
“We recently made the difficult decision to restructure the Marvel Rivals development team for organizational reasons and to enhance the game’s development efficiency," the statement explained.
"This led to a reduction in a Seattle-based design team, which is part of a broader global design function supporting Marvel Rivals. We are grateful for the hard work and contributions of those impacted and are supporting them with confidential, respectful treatment that recognizes their individual efforts.”
However, NetEase stressed that the layoffs will not affect ongoing development for Marvel Rivals, whose main team operates out of China.
“We want to assure our fans that the core development team, led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen in Guangzhou, China, remains fully dedicated to delivering an outstanding player experience,” NetEase continued.
“We are increasing, not reducing, our investment in the game’s evolution and expansion. We look forward to introducing new superheroes, maps, features, and content to create an engaging live service experience for our global community.”
This marks the latest in a series of layoffs at NetEase, which has scaled back several overseas ventures and closed studios in the U.S. and Japan—including Ouka Studios, developer of Visions of Mana. In November, Worlds Untold—headed by Mass Effect veteran Mac Walters—announced a suspension of operations following a split with NetEase. In January, Jar of Sparks, founded by Halo and Destiny 2 veteran Jerry Hook in 2022, also saw cuts.
