NetEase CEO Reportedly Considered Dropping Hit Game Marvel Rivals Due to Licensing Costs Concerns

Marvel Rivals is making waves as one of the most talked-about games at the moment. But interestingly, there was a time when NetEase’s CEO seriously toyed with the idea of pulling the plug on the whole project.

Just recently, it emerged that Marvel Rivals has drawn in an impressive 40 million players; that’s more than the entire population of Poland! Yet, despite such overwhelming success, there’s been a wave of layoffs among the U.S. development team. This eyebrow-raising development coincides with a fresh report from Bloomberg, revealing some behind-the-scenes drama at NetEase. The report highlights that Marvel Rivals’ launch was once on shaky grounds, primarily because CEO William Ding had reservations about shelling out money to Disney for the rights to use Marvel characters.

Ding was apparently so uneasy with this idea that he even pushed the design team to create original characters, steering away from the Marvel universe. The thought of pulling the plug on the game altogether came up too, something that reportedly drained millions from NetEase. A company spokesperson, however, mentioned that since 2017, NetEase has been enjoying a good relationship with Marvel. But, the overall picture seems less than rosy. Adding to the intrigue, the report also points out that Ding set an ambitious goal back in 2018 to source half of NetEase’s revenue from international markets by investing in developers such as Toshihiro Nagoshi, the creative mind behind Yakuza. Intriguingly, even Nagoshi’s project appears to be on uncertain ground, though the report does indicate that he’s been given leeway to complete his ongoing projects.

Layoffs are never easy to justify, but it seems especially baffling for a cash cow like Marvel Rivals, which seems to be minting money. In the midst of the layoff announcements, NetEase reassured everyone that the “core development team” in China is “committed to delivering an exceptional experience.” The big question is, can they stick to their ambitious plan of introducing a new hero every 45 days? Time will definitely tell.