Gang of Dragon developer Nagoshi Studio has been closed after NetEase withdrew funding earlier this 12 months.
Based on Gematsu, the Japanese authorities gazette Kanpo printed a closure discover on October 31, stating the studio was “formally dissolved by a shareholders’ decision.”
Yakuza collection creator Toshihiro Nagoshi based Nagoshi Studio underneath NetEase Video games in 2022. In December 2025, the studio debuted a teaser trailer for its new IP, Gang of Dragon, at The Sport Awards.
By March 2026, NetEase confirmed it had cut funding to the studio however didn’t disclose causes or exit phrases.
Stories indicated NetEase estimated “at the very least ¥7 billion ($44.4 million) extra could be wanted” for Nagoshi Studio to finish Gang of Dragon.
The developer reportedly “tried to search out new sponsors with out success” and NetEase informed it that “whereas it’s free to proceed by itself, it should bear the corresponding prices if it desires to maintain the belongings or model.”
Nagoshi joined Sega in 1989 and spent a number of years within the AM2 arcade division. He later served as chief artistic officer at Sega till 2021, after stepping down from the board.
Nagoshi continued at Sega as artistic director and was additionally normal director of Like a Dragon developer Ryu Ga Gotoku Studio.
Nagoshi Studio just isn’t the one Japanese developer to have ended its partnership with NetEase.
In September, Romeo is a Lifeless Man Grasshopper Manufacture split from the China-based publisher to become independent.
CEO Goichi ‘Suda51’ Suda stated the studio “discovered a powerful want to ship titles in a good wider number of types to online game lovers in every single place,” which led it to grow to be unbiased once more.
“This choice was reached after thorough discussions with NetEase Video games and with their beneficiant cooperation. We proceed to cherish the superb relationship our firms have constructed, and look ahead to additional collaboration when the chance arises.”