Netease Clarifies: No Shutdown of AI Department for Marvel Rivals, Devs Not Warned
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Netease, the owner of Marvel Rivals, has addressed a peculiar situation involving Japanese developer Goichi Suda (Suda51), who claimed the company had closed its generative AI research department and instructed its teams to steer clear of the technology. Netease is eager to clarify that it is still heavily investing in AI.
According to reports, Suda stated, “They originally had a section researching and developing AI-related stuff, but at one point they decided not to do that anymore. They folded that section and told their studios to not use AI in games, to not use it at all.”
Netease has clarified that it remains supportive of AI in gaming. A spokesperson stated, “The assertion that NetEase Games has closed an AI department or that we’ve mandated teams or studios not to use AI is not true.” A separate statement simply noted, “The situation described did not occur.”
Additionally, Netease is set to host at least two panels discussing AI applications in game development at this year’s Game Developers Conference. The GDC 2026 schedule lists two AI-related talks featuring Netease employees, including a game AI designer, a technical manager, and a technical art manager.
The first talk, scheduled for midday on March 12, focuses on a more traditional use of AI. Titled “How AI Turned MMO Players into TikTok Creators,” it promises to explain how AI video tools can be utilized to “extract motion and camera, swap avatars, and refilm the scene” from live-action clips or in-game footage for short-form video content.
The second talk, later on March 12, seems to address concerns about the perception of not investing in AI for games. It will cover principles for successful AI integration, including effective human-AI collaboration workflows, value-oriented technical services, and cross-domain integration strategies. The summary highlights discussions around the efficiency of generative AI.
“Through concrete case studies, we’ll demonstrate how AI asset optimization toolchains and intelligent workflow transformations delivered over $6 million in cost savings and 50% efficiency improvements.”
There is a clear focus on “AI implementation opportunities in game development” and “specific techniques for leveraging AI in art production.”
Meanwhile, many other developers and publishers are cautious about associating with generative AI due to the controversies it brings. Even Take-Two, the parent company of Rockstar, whose CEO, Strauss Zelnick, has praised AI as a “great thing for every industry,” has quickly stated that “generative AI has zero part in what Rockstar Games is building” with GTA 6.
“If we’re publishing the game, ‘no f***ing AI assets'”: The CEO of Manor Lords publisher Hooded Horse has banned generative AI art, calling it “cancerous.”
