NetEase, the developer behind the successful mobile game Marvel Rivals, has announced layoffs affecting its Seattle-based design team. Game director Thaddeus Sasser revealed the news on LinkedIn, expressing surprise given the game's recent success. Marvel Rivals, a free-to-play hero shooter, has surpassed 20 million downloads since its December launch and boasts impressive concurrent player numbers on Steam.

Sasser's LinkedIn profile indicates his team played a crucial role in the game's design and development over the past two years. NetEase confirmed the layoffs in a statement to IGN, citing "organizational reasons" and a need to optimize development efficiency. While the exact number of affected employees remains undisclosed, NetEase emphasized that the layoffs won't impact ongoing support for Marvel Rivals. The game's primary development team, based in Guangzhou, China, under Lead Producer Weicong Wu and Game Creative Director Guangyun Chen, remains fully committed to delivering new content and features. NetEase assures players that investment in Marvel Rivals is increasing, with plans for new heroes, maps, and gameplay additions.

This latest round of layoffs follows a pattern of NetEase scaling back its overseas investments and closing studios in the U.S. and Japan. Previous closures include Ouka Studios (developer of Visions of Mana) and the pausing of operations for Worlds Untold after a split with the publisher. In January, NetEase also cut ties with Jar of Sparks, a studio founded by industry veteran Jerry Hook.