Marvel Rivals Faces Unexpected Layoffs Despite Thriving Launch: What’s Next for the Team?

Marvel Rivals, the free-to-play hero shooter, has taken off for publisher NetEase, crossing over 20 million players shortly after launching. It still sees over 250,000 daily players on Steam. However, this success hasn’t spared the US development team from layoffs.

Thaddeus Sasser, the game’s director, shared the news about the layoffs on LinkedIn. He expressed disbelief, saying, “My talented team just helped create a successful franchise, yet we’re now laid off!”

The exact number of job cuts hasn’t been announced. Level designers Jack Burrows and Garry McGee confirmed they were among those affected. Burrows mentioned, “I just got laid off from Marvel Rivals. It was a pleasure working with my colleagues during this unfortunate time.”

McGee echoed this sentiment, noting how unexpected the layoffs were after the game’s success. He remarked, “We launched Marvel Rivals and it was a bigger hit than we hoped! Yet, my team faced layoffs. It’s a strange time in the industry.”

NetEase’s layoffs come amid a trend affecting its western studios. Recently, BioWare’s Mac Walters announced a pause at his project backed by NetEase. Another studio founded by a Halo Infinite designer also halted work, laying off staff and seeking a new publishing partner.

This week’s layoffs also affected Liquid Swords, a Swedish developer formed in 2020 with NetEase funding.

The gaming industry has seen tough times lately, with more than 25,000 job losses reported this year alone. Recent weeks have added around 900 more layoffs across various companies, reflecting ongoing challenges in the sector.