The gaming industry is facing a turbulent time, and the latest news from NetEase Games Montréal is a stark reminder of the challenges ahead. Mass layoffs have hit the studio, with numerous employees, particularly in QA roles, sharing their experiences online. But here's where it gets controversial: these layoffs come amidst a wave of studio closures within the NetEase Games family.
Game Developer has gathered testimonials from former employees, who have publicly announced their departure from the company. QA project manager Scott Killingsworth and senior QA lead Stefano Magnabosco both shared their gratitude for the opportunities while expressing the sudden turn of events. Senior QA specialist Pavlina Rahneva also bid farewell, highlighting the rewarding nature of her work and the talented team she collaborated with.
This development is particularly striking as it follows the closure of three NetEase-owned studios in 2025: T-Minus Zero Entertainment, Bad Brain Game Studios, and Fantastic Pixel Castle. While T-Minus Entertainment was later acquired and saved from permanent closure, the trend is concerning. And this is the part most people miss: these layoffs and closures are not isolated incidents but part of a larger industry trend.
The global games industry has already seen nearly a thousand job losses in 2026, according to reports. Is this a sign of a looming crisis, or simply a necessary adjustment? The gaming industry is known for its volatility, but these recent events may spark discussions about the future of gaming companies and the job security of their employees.
What do you think? Are these layoffs an isolated incident, or a symptom of a larger issue? Share your thoughts in the comments below!
