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Illustration of Nagoshi Studio employees in shock amid office closure due to funding cut, with Gang of Dragon game art and rainy Tokyo backdrop.
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NetEase halts funding for Toshihiro Nagoshi's Gang of Dragon, allows studio to continue independently

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NetEase has notified Nagoshi Studio it will stop funding from May 2026 for its debut game Gang of Dragon, after the studio requested an additional ¥7 billion ($44.4 million) to complete the project unveiled at The Game Awards 2025. The studio may continue independently if it secures alternative funding and negotiates to buy back IP rights.

Developers Crystal Dynamics and Flying Wild Hog used generative AI to create placeholder assets for Tomb Raider: Legacy of Atlantis. The tool helped visualize ideas during early level design.

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Capcom has outlined its approach to generative AI, focusing on routine tasks while keeping core creativity in human hands.

Razer has introduced enhancements to its QA Companion-AI and new features for Project AVA and Adaptive Immersive Experience at the Game Developers Conference in 2026. These tools focus on automating quality assurance, streamlining workflows, and integrating multi-sensory effects in game development. The announcements aim to improve efficiency without requiring significant changes to existing setups.

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Build A Rocket Boy has announced further layoffs—the third round since MindsEye's launch—attributing them to industry woes and alleging organized espionage and sabotage. Co-CEO Mark Gerhard said the studio's investigation into these claims is progressing toward prosecution.

Artur Ganszyniec, lead story designer on the 2007 game The Witcher, recently completed a playthrough and revealed that the story team was minimally involved in its final cutscene, calling it a mistake. This decision, made by higher-ups at CD Projekt Red, created inconsistencies that influenced the narrative direction of The Witcher 2: Assassins of Kings. Ganszyniec also noted that elements like the Wild Hunt will need adjustments in the upcoming remake due to evolving lore.

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Unity Technologies' CEO Matthew Bromberg has announced an upcoming beta update to its game engine that will allow developers to create full casual games using natural language prompts. The feature is set to be unveiled at the Game Developers Conference in March. While the technology aims to simplify game development, it arrives amid ongoing debates about generative AI's role in the industry.

 

 

 

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