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NetEase Cuts Funding to Nagoshi Studio’s Game Project

NetEase Cuts Funding to Nagoshi Studio’s Game Project

by Tekmono Editorial Team
09/03/2026
in News
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NetEase’s decision to stop financing Nagoshi Studio in May has put the development of Gang of Dragon, the studio’s debut title, in jeopardy, according to a Bloomberg report.

The funding halt significantly impacts the $44.4 million project as Nagoshi Studio, founded by Yakuza creator Toshihiro Nagoshi, relies heavily on NetEase’s financial support. NetEase decided to cut funding after learning the game required the full amount to reach completion. The studio is currently seeking new sponsors but has not found any yet.

Bloomberg confirmed the news with studio employees and a NetEase spokesperson, stating that the studio can continue the project independently. However, it would be responsible for paying NetEase for costs associated with holding the brand or assets. NetEase began financing the studio following its founding in 2021.

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Gang of Dragon is an action-adventure title set in Tokyo, starring South Korean actor Ma Dong-Seok. A trailer for the game was released during The Game Awards in December 2025. This funding decision follows NetEase’s 2024 shutdown of Ouka Studio, raising concerns about the company’s commitment to supporting game development projects.

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