Marvel Rivals, the popular mobile game developed by NetEase, almost faced cancellation before its release, as reported by Bloomberg. The CEO of NetEase, William Ding, was hesitant to pay Disney for the rights to use Marvel characters in the game, leading to discussions about scrapping the project altogether. Despite NetEase denying these claims, a source mentioned in the report revealed that Ding even considered replacing Marvel superheroes with original designs to cut costs on licensing fees, ultimately resulting in wasted time and resources for the company.
While NetEase and Marvel have had a positive working relationship since 2017, the issue of costly licensing fees for Marvel characters remains a concern for Ding. Given the unpredictable nature of live service games and the financial risk involved, it’s understandable why Ding may have contemplated discontinuing Marvel Rivals. However, with the game’s recent success, surpassing 40 million players, the decision to cancel or alter the licensed lineup would have been a grave mistake in hindsight.
Ding’s leadership style, characterized by indecision and frequent changes in project direction, has been evident in NetEase’s operations in both North America and China. Despite the success of Marvel Rivals, NetEase made staff reductions at its Seattle studio working on the game and halted funding for other game development studios. This shift in focus towards more mass-market appeal games like Eggy Party, with high revenue potential, reflects Ding’s strategy to prioritize games that offer substantial recurrent spending options.
In light of Ding’s emphasis on games that can generate hundreds of millions of dollars annually, it raises concerns among NetEase employees about the company’s commitment to releasing new games that may not meet these financial targets. The recent layoffs and project cancellations suggest a shift towards a more profit-driven approach, potentially impacting the game development landscape in China.
While some critics within NetEase question Ding’s leadership decisions, it aligns with industry trends where live service components are becoming essential for game success. Electronic Arts CEO Andrew Wilson’s remarks on the importance of live service features in games echo a similar sentiment, emphasizing the need to adapt to player demands for shared-world experiences and deeper engagement. This strategic shift towards live service games, if executed effectively, can lead to significant financial gains for companies like NetEase.
The challenges of developing successful live service games are daunting, but the potential rewards are immense. Marvel Rivals, if maintained and nurtured by NetEase, has the potential to become a lucrative long-term investment for the company. Despite initial doubts and uncertainties, Ding’s decision to continue supporting Marvel Rivals could prove to be a wise choice in the long run.
Andy, a seasoned gamer with a passion for RPGs, immersive sims, and shooters, has witnessed the evolution of the gaming industry firsthand. Starting with text adventures on a TRS80, he has seen the rise of live service games and the impact of player engagement on game development. His experience in covering gaming news spans over a decade, providing insights into industry trends and the evolving landscape of game development. As the industry continues to evolve, the success of games like Marvel Rivals highlights the importance of adapting to changing player preferences and market demands.