Yakuza Creator Toshiro Nagoshi's Studio Closes Before Releasing a Game

Nagoshi Studio, founded by Yakuza series creator Toshiro Nagoshi, has officially been dissolved without ever shipping a game, according to a report from Gematsu.

The Tokyo-based developer was shut down via a shareholders' resolution on October 31, with the closure posted in the Japanese government gazette Kanpo.

The studio was formed in 2022 with investment from Chinese tech giant NetEase, following Nagoshi's departure from Ryu Ga Gotoku Studio. Its debut project was Gang of Dragon, a Yakuza-like game revealed at The Game Awards last December.

Bloomberg reported, per IGN, that NetEase decided to cut funding after learning Gang of Dragon needed at least another 7 billion yen, or roughly $44.4 million, to be completed. Nagoshi reportedly tried to find new investors to buy the studio out but was unsuccessful.

With the studio's closure, the future of Gang of Dragon is in serious doubt, and it may never be released.