Marvel Rivals Team Laid Off, NetEase Reassures Fans

NetEase, the developer behind the hit game Marvel Rivals, has announced layoffs affecting its Seattle-based design team due to "organizational reasons." Game Director Thaddeus Sasser took to LinkedIn to share the news, expressing his surprise and the talent of his team, which had contributed significantly to the success of Marvel Rivals.

Sasser's post read, "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! Oh well! Times are tough all over - Let's find these incredible people new jobs, because we all need to eat, right? :D"

The gaming community responded with a mix of shock and anger, particularly given the game's success. Since its launch in December, Marvel Rivals, a free-to-play hero shooter, has amassed over 20 million downloads and achieved significant peak concurrent player counts on Steam. Sasser's LinkedIn profile highlights his team's role in game and level design, providing strategic guidance and direction for Marvel Rivals over the past few years.

NetEase confirmed the layoffs to IGN but did not disclose the number of affected employees. In their statement, they explained, "We recently made the difficult decision to adjust Marvel Rivals’ development team structure for organizational reasons and to optimize development efficiency for the game. This resulted in a reduction of a design team based in Seattle that is part of a larger global design function in support of Marvel Rivals. We appreciate the hard work and dedication of those affected and will be treating them confidentially and respectfully with recognition for their individual contributions."

Despite the layoffs, NetEase emphasized that the ongoing support for Marvel Rivals would not be impacted. The primary development team, led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen in Guangzhou, China, remains fully committed to the game's future. NetEase stated, "We want to reassure our fanbase that the core development team for Marvel Rivals... remains fully committed to delivering an exceptional experience. We are investing more, not less, into the evolution and growth of this game. We’re excited to deliver new superhero characters, maps, features, and content to ensure an engaging live service experience for our worldwide player base."

These layoffs are part of a broader trend at NetEase, which has been scaling back its international investments. Recent closures include Ouka Studios in Japan, responsible for Visions of Mana, and Worlds Untold in the U.S., led by Mass Effect alum Mac Walters, which paused operations after parting ways with NetEase. Additionally, in January, NetEase cut Jar of Sparks, a studio founded by Halo and Destiny 2 veteran Jerry Hook in 2022.