TikTok parent company ByteDance is reportedly restructuring its ambitious gaming sector Nuverse. In a bid to retreat from the gaming industry, Nuverse is expected to be hit with layoffs.
After two years of attempting to formulate a position within the industry, ByteDance’s Nuverse is expected to restructure its gaming business, according to a spokesperson who confirmed the news with Reuters.
“We regularly review our businesses and make adjustments to centre on long-term strategic growth areas. Following a recent review, we’ve made the difficult decision to restructure our gaming business,” the ByteDance spokesperson said.
Sources familiar with the matter believe that ByteDance employees will be told to stop the development of unreleased games by December. Nuverse is also said to be looking at ways to divest in its titles have have already launched.
In 2021, ByteDance aggressively moved into the gaming industry, making it one of the parent company’s six core business units. ByteDance attempted to take some of the mindshare away from companies like Tencent and MiHoYo. Unfortunately, after scaling to nearly 3,000 staff members and expensive acquisitions, Nuverse isn’t panning out like the TikTok maker hoped it would.
Nuverse’s layoffs are expected to hit hundreds of employees, some of whom are only learning about the company’s pivot now.
The company’s largest game is Marvel Snap. Since launching nearly a year ago, Marvel Snap has built a big fan base. However, it’s failed to break through and become a commercial success, despite even being released on PC. Nuverse’s other titles include Crystal of Atland and One Piece: The Voyage.
