Near the beginning of November, word broke that Marvel Rivals publisher NetEase had shut down Fantastic Pixel Castle, the studio founded by former World of Warcraft lead system designer Greg Street that was working on an MMORPG project called Ghost. Now, NetEase has shut down another developer and ended work on a Warhammer 40K MMO as well.
As reported by Massively Overpowered, Jackalyptic Games–NetEase’s first-party studio behind the Warhammer 40K MMO–is being closed and its game has been cancelled. The news was confirmed in a statement by studio head Jack Emmert.
“I’m here to share a note that after nearly three and a half years working with NetEase Games as a first party studio, our partnership will be coming to an end,” wrote Emmert in a statement. “As we navigate this transition, our talented team members will be exploring new opportunities. If you’re looking for passionate, creative professionals who bring excellence and collaboration to everything they do, please don’t hesitate to reach out.”
NetEase previously laid off Marvel Rivals US-based development team despite the game’s continued success since its launch in 2024. A report at the time called the move a “recalibration of [NetEase’s] global strategy” due to “geopolitical risks.” The Witcher 3 director Konrad Tomaszkiewicz’s upcoming vampire game, The Blood of Dawnwalker, won’t be affected by NetEase’s cutbacks according to the game’s studio, Rebel Wolves.
A separate Warhammer 40K RPG was cancelled by Games Workshop and Nexon in early January 2025. But that franchise is far from finished. Amazon is still producing a live-action Warhammer 40K series for Prime Video, but the show may still be years away. A new game, Warhammer Survivors, was announced earlier this month.
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