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Net ease exits funding for nagoshi studios' dragon game

Netease Cuts Funding for Nagoshi Studios | Ongoing Challenges for Gang of Dragon

By

Carlos Mendoza

Mar 7, 2026, 01:35 PM

Updated

Mar 8, 2026, 01:35 AM

2 minutes of duration

A graphic showing the NetEase logo next to a depiction of a dragon, symbolizing the game Gang of Dragon, with a 'Funding Stopped' label.
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Netease will cease financial support for Nagoshi Studios this May. The game, Gang of Dragon, now needs an additional $44 million for completion. This development pushes the studio further into financial uncertainty as it struggles to secure sponsorship in a tightening market.

Financial Strain Exposed

The decision to discontinue funding arose as Netease found out the project required more resources than initially anticipated. Despite efforts to attract new investors, Nagoshi Studios has not found success. With the gaming market's current environment described as "a nightmare" for new IPs, the situation is dire.

Industry Feelings Run Deep

Commenters on various forums reflect mixed emotions about the game's future:

  • "Essentially doomed," one pointed out, emphasizing doubts that publishers will commit to such a large additional investment, especially after prolonged development.

  • Others echoed skepticism, noting, "Sony ainโ€™t paying $45 million extra to get it finished."

Notable Community Insights

Fans have sharply reacted to the news, showcasing their passion and apprehension:

"I need this game to be made, SOMEONE DO SOMETHING!" - A heartfelt cry from a fan.

In contrast, another commented, "A $44 million game still doesnโ€™t guarantee it gets finished," highlighting the risks of significant budget overruns.

Potential Corporate Moves

The conversation is heating up about possible buyouts or support from major gaming firms. Comments suggest that both Microsoft and Sony could consider investment, especially after cutting ties with other development studios recently. But many remain skeptical, with one stating, "If one of them steps in after layoffs, that would be a horrible look."

Key Takeaways

  • ๐Ÿ’” Many believe the project faces an uphill battle for additional funding.

  • ๐Ÿ“‰ Concerns abound that without major financial backing, Gang of Dragon is in serious jeopardy.

  • ๐Ÿ” Observers keep a close eye on leading gaming companies for potential investments or assistance with the beleaguered studio's efforts.

The fate of Gang of Dragon hangs in the balance, and without financial intervention, Nagoshi Studios may find itself facing an uncertain future. Analysts speculate that the competitive atmosphere of the gaming industryโ€”where unique IPs can yield significant profitsโ€”might spur larger firms to make a bold move. But the ticking clock means options for Nagoshi keep shrinking.