Summary
- Tencent and NetEase are reconsidering or scaling back investments in Japanese studios.
- NetEase has cut jobs at its Ouka studio in Tokyo and intends to shut it down.
- Tencent is also reevaluating pace and scale of investments in Japan, backing off from funding commitments for new games.
- Chinese firms frustrated by interactions with Japanese developers due to mismatch in ambition, setting higher goals and expectations recently.
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