TENCENT, NTES-S Reconsider Investments in Game Studios in Japan Reportedly

$TENCENT (00700.HK)$ and $NTES-S (09999.HK)$ are reportedly reconsidering their investments in Japanese game studios after years of limited success. NetEase has laid off most staff at its Ouka Studios in Tokyo and plans to close its Shibuya studio. Tencent has also scaled back, canceling some game financing commitments.

Despite these changes, Tencent stated it remains committed to its Japanese partnerships, while NetEase emphasized ongoing progress in other Japanese studios, adjusting its strategy based on market conditions.