NetEase

Chinese Internet technology company

NetEase, Inc.

Headquarters in Hangzhou

Company type| Public

Traded as

| Nasdaq: NTES
SEHK: 9999
Industry| Internet
Founded| June 1997; 28 years ago (1997-06)
Founder| Ding Lei
Headquarters| Hangzhou, Zhejiang, China[1]

Key people

| Ding Lei (CEO)
Products| Online services
Video games
Revenue|  CN¥ 59.24 billion (2019)[2]

Operating income

|  CN¥ 13.79 billion (2019)[2]

Net income

|  CN¥ 21.43 billion (2019)[2]
Total assets|  CN¥ 112.12 billion (2019)[2]

Number of employees

| 29,128 (December 2023)[3]
Divisions| NetEase YanXuan
NetEase Cloud Music
NetEase Games (Thunder Fire)
NetEase Games (Interactive Entertainment)
NetEase D&R Center Lab
NetEase Wisdom Enterprise
Youdao
NetEase News
Subsidiaries| See § Development studios
Website| 163.com

NetEase, Inc. (simplified Chinese: 网易; traditional Chinese: 網易; pinyin: Wǎngyì; Jyutping: mong5 ji6) is a Chinese Internet technology company founded by Ding Lei in June 1997. It provides online services with content, community, communications, and commerce. The company develops and operates online PC and mobile games, advertising services, email services, and e-commerce platforms in China. It is one of the largest Internet and video game companies in the world.[4] The company owns multiple pig farms.[5] NetEase has an on-demand music-streaming service (NetEase Cloud Music). The video games include, Fantasy Westward Journey, Tianxia III, Heroes of Tang Dynasty Zero, and Ghost II.[6] NetEase operated the Chinese version of Blizzard Entertainment games from 2008 to 2023, such as World of Warcraft, StarCraft II, and Overwatch.[7][8][9]

## History

[edit]

Ding Lei founded the company in China in June 1997. It grew due in part to the investment in search engine technology.[10]

On July 1, 2000, the company was floated on the American stock market with an initial public offering on Nasdaq. 4.5 million shares were issued at $15.5 per share. The IPO was underwritten by Merrill.

In 2012, the official name was changed from NetEase.com, Inc to NetEase, Inc.[11] The company's top executives quit amid possible advertisement revenue misreporting, and buy-out talks with i-Cable Communications and others were reported.[12][13]

In 2008, the 163.com domain attracted at least 1.8 million visitors annually according to the Compete.com survey.[14] In 2010, the site was the 28th most visited site in the world according to Alexa Internet rankings.[15] NetEase's official website address is 163.com. It was attributed to the past when Chinese internet users had to dial "163" to access the Internet, before the availability of broadband.[16][17]

Tencent sued NetEase alleging copyright infringement in 2014.[18]: 102 It used the leverage from the suit to convince the company to sublicense music rights.[18]: 102 The resulting sublicensing arrangement became a model used by other online music platforms in China.[18]: 102

NetEase is the largest provider of free e-mail services in China with over 940 million users since 2017. The company also ran 188.com and 126.com.[19] The company operates a news website at news.163.com and an associated app.[20][21] Riot Games sued NetEase over alleged copyright violation concerning Valorant in 2022.[22][23]

### Expansion and acquisitions

[edit]

NetEase launched the headquarters in the United States in August 2014.[24] It invested US$100 million in Bungie for a minority stake in the company and a seat on the board of directors in June 2018.[25] NetEase invested in Aurora 44 in New Zealand and sold the comic books section to Bilibili in December 2018.[26][27] NetEase discussed secondary listings with the Hong Kong Exchanges and Clearing in January 2020.[28]

Former Capcom employee Ryosuke Yoshida opened Ouka Studios in June 2020,[29][30] but it was shut down in August 2024 after Square Enix completed the game Visions of Mana.[31] In August 2020, NetEase announced a capital and business alliance with anime studio Satelight.[32] Just Cause game director Christofer Sundberg established Liquid Swords in December 2020.[33] It was acquired by NetEase.[34] Casey Hudson established Humanoid Origin in June 2021,[35] but it was closed in November 2024.[36] NetEase acquired Grasshopper Manufacture from GungHo Online Entertainment in October 2021.[37]

Jack Emmert founded Jackalope Games in May 2022.[38] It was changed to Jackalyptic Games on May 18, 2023, and has a partnership with Games Workshop.[39] Toshihiro Nagoshi, Daisuke Sato, and several former Sega employees established Nagoshi Studio, which is part of their subsidiary.[40] Former Halo Studios employee Jerry Hook, established Jar Of Sparks on July 18, 2022,[41] but it was closed in January 2025.[42] NetEase received an investment for Polish VR studio Something Random,[43] and acquired Quantic Dream in August 2022 after the 2019 minority investment.[44] It became a subsidiary of the parent company and had NetEase to have console game releases.[45] Something Wicked Games founder Jeff Gardiner announced that NetEase had invested $13.2 million for the studio.[46] Former Capcom producer, Hiroyuki Kobayashi, established GPTRACK50 Studio in October 2022.[47] In November 2022, NetEase made a strategic investment with Rebel Wolves, founded by former CD Projekt employee Konrad Tomaszkiewicz on February 16, 2022.[48] It later acquired the Norwegian fitness startup PlayPulse.[49]

NetEase acquired the studio SkyBox Labs in January 2023.[50] In February 2023, NetEase opened the studio Spliced.[51] Former Marvelous vice president Toshinori Aoki and BlazBlue game creator Toshimichi Mori, opened Studio Flare on September 6, 2022. It was acquired by NetEase.[52] In March 2023, NetEase launched the Anici anime brand, making a variety of animation for various partners.[53] Control game designer Paul Ehreth opened Anchor Point Studios in October 2022.[54] NetEase acquired the company in April 2023.[55] Former Ubisoft employee Sean Crooks opened Bad Brain Game Studios[56] and Dragon Quest producer Ryutaro Ichimura established PinCool in May 2023.[57] Jeff Dobson, Scott Malone, Mark Tucker, and Rich Vogel, opened T-Minus Zero Entertainment,[58] and NetEase launched an American studio led by Bethesda and BioWare veterans in August 2023.[59] Former Blizzard employee Greg Street established Fantastic Pixel Castle in November 2023.[60] Mac Walters' company, Worlds Untold,[61] had a "paused" operation in November 2024.[62][63] David Vonderhaar opened BulletFarm in February 2024.[64]

In February 2025, it was reported that NetEase has been shopping with other studios, looking to divest the foreign investments due to changes in the video game industry. Over a dozen studios would have to receive new fundings and avoid potential closure. Many studios had been acquired only five years prior.[65]

### Partnerships

[edit]

The company has a history of partnerships with other ones. Blizzard Entertainment partnered with NetEase to bring some games for the Chinese market in 2008.[66] They announced the suspension of most game services in China, after the licensing agreement expired on 23 January 2023.[8] According to the statement, Overwatch 2, Diablo III, World of Warcraft, StarCraft, Hearthstone, and Heroes of the Storm, no longer received service on 17 November 2022.[9]

In April 2012, NetEase began testing a restaurant recommendation mobile app called "Fan Fan".[67][68] NetEase and Marvel Comics began making a comic book about a Chinese superhero in 2017. The comic books would be released online, such as The Amazing Spider-Man, Captain America, and Guardians of the Galaxy.[27]

The company collaborated with Coursera to provide Massive Open Online Course.[69] NetEase launched an online course platform with educational content in 2014.[70]

NetEase, The Pokémon Company, and Game Freak, made an expanded version of Pokémon Quest called Pokémon Adventure, released in China on 13 May 2021. It contains regular updates and events unlike other versions.[71][72]

### Chinese government regulation

[edit]

In October 2020, the Cyberspace Administration of China ordered NetEase to undergo rectification and temporarily suspend certain comment functions, after censors found inappropriate comments on the news app.[73]

Gamers trying the new release of Speedy Ninja at PAX 2015

## Games

[edit]

Year  | Title  | Developer(s)  | Publisher(s)  | Notes

|
|
|
|

2001  | Fantasy Westward Journey | NetEase Games  | NetEase Games  |
2002  | Westward Journey Online II |
2015  | Revelation Online |
2017  | Rules of Survival | Discontinued on 27 June 2022
2018  | Creative Destruction
Galactic Frontline | Online title, Closed in 2020[74]
Identity V |
LifeAfter |
2019  | Cyber Hunter |
Sky: Children of the Light | Thatgamecompany | Published in China only
Marvel Super War | NetEase Games  | Discontinued on 18 June 2024
Super Mecha Champions | Discontinued on 20 January 2025
2020  | Marvel Duel |
Bloodstained: Ritual of the Night | ArtPlay  | Android and iOS ports
2021  | Ace Racer | NetEase Games  |
Harry Potter: Magic Awakened | NetEase, Envoy Games  | NetEase Games, Portkey Games, Envoy Games  |
Naraka: Bladepoint | 24 Entertainment  | NetEase Games  |
Astracraft | NetEase Games  | Discontinued on 21 December 2022
The Lord of the Rings: Rise to War | Warner Bros. Games |
2022  | Diablo Immortal | NetEase Games, Blizzard Entertainment | Blizzard Entertainment  |
Eggy Party | NetEase Games  | NetEase Games  |
Mission Zero |
Hyper Front | NetEase Games, BattleFun Games  |
Lost Light | NetEase Games  |
2023  | Dead by Daylight Mobile | Behaviour Interactive, NetEase Games  | Behaviour Interactive, NetEase  | Published in China only
2024  | Bloodstrike | NetEase Games  | NetEase Games  | Available on iOS, iPadOS, Android, and Windows
Once Human | NetEase, Starry Studio  | NetEase Games, Starry Studio  | Available on Android, iOS, and Windows
Marvel Rivals | NetEase Games  | NetEase Games  | Available on Windows, PlayStation 5 and Xbox Series X/S
2025  | Rusty Rabbit | Nitroplus | Available on Windows, PlayStation 5 and Nintendo Switch
FragPunk | Bad Guitar Studio  | Available on Windows, PlayStation 5 and Xbox Series X/S
Racing Master | Dahua Studios, Codemasters | Available on Android, iOS, and Windows
TBA  | Tom and Jerry: Chase | NetEase Games  | Warner Bros. Games  |
Where Winds Meet | Everstone Studio  | NetEase Games  |
Project: BloodStrike | NetEase Games  |
Project: E.O.E |
Project: EXTREME |
Blood Message | 24 Entertainment  |
Ananta | NetEase Games, Naked Rain  |

### Licensed online games

[edit]

* Three-year agreement to license Overwatch in PRC[75]
* Agreement to license Minecraft and the pocket edition in China[76]
* Operated the Chinese third-party Minecraft Hypixel server, which was shut down on 30 June 2020[77]
* Assumed the publishing of Eve Online in the Chinese market in October 2018[78]

### Game Technology

[edit]

NetEase develops two in-house game engines for some video games: Messiah Engine and NeoX.[79]

## Development studios

[edit]

Studio  | Location

|

NetEase Games  | Shanghai, Guangzhou, and Hangzhou, China
Grasshopper Manufacture | Tokyo, Japan
PinCool
Nagoshi Studio
NetEase Games Tokyo
GPTRACK50 Studio  | Osaka, Japan
Studio Flare  | Gotanda, Tokyo, Japan
Quantic Dream | Paris, France
Jackalyptic Games  | Austin, Texas, United States
T-Minus Zero Entertainment
Anchor Point Studios  | Seattle, Washington, United States and Barcelona, Spain
NetEase Games North America  | Brisbane, California, United States
BulletFarm  | Los Angeles, California, United States
NetEase Games Montreal  | Montreal, Quebec, Canada
SkyBox Labs | Burnaby, British Columbia, Canada
Bad Brain Game Studios  | Toronto, Ontario, Canada
Spliced  | Manchester, United Kingdom
NetEase Games Korea  | Seongnam, South Korea
Fantastic Pixel Castle  | Remote studio
Something Wicked Games

## References

[edit]

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## External links

[edit]

Wikimedia Commons has media related to NetEase.

* Official website
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Major Chinese Web portals

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Major Internet companies

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Internet |

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Cloud computing|

* Akamai
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E-commerce|

* Amazon.com
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Shanghai Dragons

* Founded in 2017
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Franchise|

* Franchise
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Arenas|

* XinYeFang Studio

Parent group|

* NetEase

Championships|

* 2021

League affiliations|

League
Overwatch League
Division
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Conference titles (2)|

* 2020
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Affiliate teams|

* Team CC (OWC)

Seasons|

* 2018
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Finance|

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Utilities|

* CLP Group
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Properties|

* Henderson Land Development
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* Hansoh Pharmaceutical
* JD Health
* Haier
* Haidilao
* JD.com
* Nongfu Spring
* Baidu
* Trip.com Group
* Alibaba Group
* NetEase

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Constituents of Hang Seng China 50 Index

* Agricultural Bank of China
* Alibaba Group
* Baidu
* Bank of China
* Bank of Communications
* BYD Company
* CATL
* China Construction Bank
* China Life Insurance Company
* China Merchants Bank
* China Mobile
* China Pacific Insurance Company
* China Shenhua Energy
* CITS Group Corporation
* China Yangtze Power
* CITIC Securities
* CNOOC Limited
* Foshan Haitian Flavouring & Food Co
* Great Wall Motor
* Gree Electric
* Hikvision
* ICBC
* Industrial Bank
* JD.com
* Jiangsu Hengrui Medicine
* Kuaishou
* Kweichow Moutai
* LONGi
* Luxshare
* Meituan
* Midea Group
* Mindray
* Muyuan Foodstuff
* NetEase
* Nongfu Spring
* PetroChina
* Ping An Bank
* Ping An Insurance
* Postal Savings Bank of China
* SF Express
* Shanghai Pudong Development Bank
* Shanxi Xinghuacun Fen Wine Factory
* Sinopec
* Tencent
* Vanke
* Wanhua Chemical Group
* Wuliangye Yibin
* WuXi AppTec
* Xiaomi
* Yihai Kerry

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Hang Seng China Enterprises Index companies of Hong Kong

* Agricultural Bank of China
* Alibaba Group
* Alibaba Health
* Anta Sports
* Baidu
* Bank of China
* Bank of Communications
* Bilibili
* BYD Company
* CG Services
* China Construction Bank
* China Feihe
* China Gas
* China Life Insurance Company
* China Merchants Bank
* China Mobile
* China Overseas Land and Investment
* China Pacific Insurance Company
* China Resources Beer
* China Resources Land
* CITIC Limited
* CNOOC Limited
* Country Garden
* ENN Energy
* Geely Auto
* Haidilao
* ICBC
* Innovent Bio
* JD Health
* JD Logistics
* JD.com
* Kuaishou
* Lenovo
* Li-Ning
* Longfor Properties
* Meituan
* Mengniu Dairy
* NetEase
* Nongfu Spring
* Ping An Insurance
* Postal Savings Bank of China
* Shenzhou International
* Shijiazhuang Pharma Group
* Sino Biopharmaceutical Limited
* Sinopec
* SMIC
* Sunny Optical
* Tencent
* Xiaomi
* Xinyi Solar

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