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China Sweden Japan Strategy UPS Marvell NetEase performer reports China Sweden Japan

NetEase Games reportedly cutting non-Chinese studios

pcgamesinsider.biz

Chinese tech firm NetEase is reportedly pulling back on the games studios it has set up abroad. Game File reports that the company is trying to sell off some of the developers it has launched.

This follows NetEase pulling its support for Jar of Sparks and Worlds Untold, while NetEase-backed Swedish studio Liquid Swords has made layoffs within the last week.

The firm is apparently looking to cut loose the "majority" of its studios outside of China, which could see over 12 foreign developers that are on the chopping board.

There are a few reasons for these cuts, seemingly. The first is that gross profits at NetEase are down 3.3 per cent year-on-year, while budgets for its blockbuster titles are massive and the company doesn't want that kind of outlay for games that aren't sure hits.

NetEase's studios in Europe, America and Japan are apparently being given some time to find new backers. The Chinese firm says that it is being "more cautious" with its strategy moving forward.  "The company continues to invest in our global business and actively recruits and nurtures talent.

Strategy UPS Marvell NetEase performer reports China Sweden Japan
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