NetEase closes AI research division: Suda51 dispute exposes publisher-studio governance gap
Summary
Suda51 claimed NetEase shut its generative AI research division and told studios to stop using AI entirely
NetEase denied via spokesperson: "The situation described did not occur, and we have not published any related policies" - NetEase spokesperson
The public contradiction reveals a governance gap: studios and corporate lack aligned, documented AI policy
01
Suda51's claim and NetEase's flat denial leave policy status ambiguous
Suda51, now developing Romeo is a Dead Man at NetEase subsidiary Grasshopper Manufacture, told Eurogamer NetEase had a generative AI R&D division and shut it down
He added NetEase instructed studios to stop using AI: "to not use it at all" - Goichi Suda, Director, Grasshopper Manufacture
NetEase denied both claims through Insider Gaming, not executive leadership
Actual AI policy status remains undisclosed by either side
02
The governance gap matters more than who is right
Suda51 was never given a direct explanation: "I don't know, they never explained directly why" - Goichi Suda, Director, Grasshopper Manufacture
Informal or verbal AI restrictions across decentralized studios create misalignment that surfaces publicly at the worst time
Publishers managing global multi-studio networks face higher exposure without documented AI governance
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Suda51's two risk factors match real publisher-level liabilities
He cited player backlash against AI content and copyright infringement from models trained on unlicensed data
Both concerns are active across the industry in legal proceedings and platform policy debates
NetEase publicly integrated ChatGPT into Justice Online Mobile for NPC dialogue; Where Winds Meet uses AI-driven conversation features with positive reception
This signals a use-case-selective AI stance, not a blanket ban, deepening the contradiction with Suda51's account
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