Gaming
Marvel Rivals Director and Seattle Design Team Laid Off Amidst NetEase Restructuring
The gaming industry was rocked by unexpected news as NetEase, the publisher behind the successful free-to-play shooter Marvel Rivals, laid off its Seattle-based design team, including game director Thaddeus Sasser. The move, confirmed for “organizational reasons,” comes despite the game’s massive success, leaving many in the industry puzzled.
Thaddeus Sasser took to LinkedIn to announce the layoffs, writing, “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!” His post quickly gained traction, sparking outrage and sympathy from fellow developers and fans alike.
Marvel Rivals’ Meteoric Rise
Launched in December 2024, Marvel Rivals quickly became a hit, surpassing 20 million downloads and achieving record-breaking concurrent player numbers on Steam. The game, a hero-based shooter featuring Marvel’s beloved characters, appeared to be a significant win for NetEase. However, despite the game’s success, the publisher decided to downsize its U.S.-based design team.
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Sasser’s Seattle team had worked on game and level design, strategic planning, and direction for Marvel Rivals over the past few years. While NetEase has not disclosed the exact number of layoffs, their decision to cut a team that played a critical role in the game’s development has raised eyebrows.
NetEase Responds: “No Impact on the Game”
Following the backlash, NetEase confirmed the layoffs to IGN but reassured players that Marvel Rivals would continue to receive full support. The company explained that the move was made to “optimize development efficiency” and emphasized that the primary development team, based in Guangzhou, China, remains intact. “We want to reassure our fanbase that the core development team for Marvel Rivals, which continues to be led by Lead Producer Weicong Wu and Game Creative Director Guangyun Chen, remains fully committed to delivering an exceptional experience,” NetEase stated.
Additionally, the company insisted that they are “investing more, not less” into the game, promising new superheroes, maps, and features to enhance the live service experience. However, given the recent layoffs, many fans and industry insiders remain sceptical.
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NetEase’s Growing Reputation for Layoffs
The restructuring of Marvel Rivals is not an isolated event for NetEase. The company has been scaling back overseas operations, shutting down studios in the U.S. and Japan.
In November 2024, NetEase-backed Worlds Untold, led by Mass Effect veteran Mac Walters, halted operations after parting ways with the publisher.
In January 2025, the company shut down Jar of Sparks, a studio founded by Halo and Destiny 2 lead Jerry Hook.
Most recently, Visions of Mana developer Ouka Studios also faced closure.
These moves indicate a shift in NetEase’s global strategy, prioritizing its China-based studios while scaling back Western investments.
What’s Next for Marvel Rivals?
Despite NetEase’s reassurances, the departure of key designers raises concerns about Marvel Rivals’ long-term development. Fans fear the sudden restructuring could impact the game’s quality and future updates, particularly with its ambitious live-service model.
For now, Marvel Rivals remains a thriving title, but this latest controversy highlights the volatility of the gaming industry—where success doesn’t always guarantee stability.
