Nagoshi Studio Faces Potential Closure After Funding Cut

Nagoshi Studio Faces Potential Closure After Funding Cut

Nagoshi Studio, founded in 2021 by legendary developer Toshihiro Nagoshi, is currently facing a critical turning point.

orgNagoshi Studio
personToshihiro Nagoshi

Following his departure from Sega, Nagoshi aimed to create high-quality console games for a global audience.

orgSega

NetEase, the primary financial backer, has announced it will stop funding the studio in May 2026.

orgNetEase

This decision stems from the massive financial needs of the studio's debut project, Gang of Dragon, which requires an additional ¥7 billion ($44.4 million USD) to finish.

otherGang of Dragon

While the project was teased recently at The Game Awards, its development is now in jeopardy.

eventThe Game Awards

NetEase has offered the studio independence, but to retain the rights to its brand and game assets, Nagoshi Studio must secure funds for a buyout.

orgNetEase
orgNagoshi Studio

This situation highlights a broader trend of restructuring at NetEase, which has been scaling back its international operations.

orgNetEase
🎉

End of article

You read 7 focus sentences.

Challenge Mode

Comprehension Questions

When is NetEase planning to stop funding Nagoshi Studio?

✓

Correct Choice

May 2026

What is the primary reason for the funding cessation?

✓

Correct Choice

The high cost required to complete Gang of Dragon

What must Nagoshi Studio do if it wants to keep the rights to Gang of Dragon?

✓

Correct Choice

Complete a financial buyout of the assets

Who founded Nagoshi Studio in 2021?

✓

Correct Choice

Toshihiro Nagoshi

What is the broader trend mentioned regarding NetEase?

✓

Correct Choice

Scaling back international game development operations

Ringoo Icon

Learn faster with Ringoo apps

Trace your learning progress and get real-time feedback with interactive exercises.

App StoreGoogle Play
Nagoshi Studio Faces Potential Closure After Funding Cut | Ringoo