NetEase cuts funding to Gang of Dragon dev Nagoshi Studio

NetEase will cease funding Nagoshi Studio in May 2026, leaving the developer of Gang of Dragon in a challenging position. The studio, founded by Yakuza creator Toshihiro Nagoshi, has been informed that it requires an additional ¥7 billion ($44.4 million) to finish its debut title. As they search for new sponsors, the studio faces the risk of losing its assets unless it can secure alternative funding.

This funding cut is part of a larger trend at NetEase, which has seen several subsidiaries affected by restructuring. Developers should pay attention to this situation as it underscores the volatility of funding in the industry, especially for new studios aiming to produce high-quality titles. The implications for roles such as artists and designers could be significant, as project timelines and resources are now uncertain.