NetEase, Inc.

Overview

NetEase, Inc. is a China-based internet and digital-services company whose business is led by online games, alongside intelligent learning, music streaming and other internet services. Its offerings include more than 100 online games, as well as e-commerce, advertising and email services.[1] The company’s operations are primarily in mainland China, while its games also reach players globally.[2][1]

NetEase says it aims to build “a more entertaining and enlightened world.” [3] Founded in 1997, the company reported FY2025 net revenue of RMB112.6 billion (US$16.1 billion) and had 25,382 employees as of December 31, 2025.[4]+2 [1]+5

Products & services

NetEase’s principal product offering is a portfolio of more than 100 mobile, PC, console and cross-platform games, monetized through virtual items, premium features and services, and gameplay time. Its titles span genres, including the MMORPGs *Fantasy Westward Journey Online* and *Westward Journey Online 2*; the battle-arena game *Identity V*; battle-royale action game *Naraka: Bladepoint*; party game *Eggy Party*; survival and crafting game *Once Human*; shooter *Marvel Rivals*; and open-world action-adventure RPG *Where Winds Meet*. The latter three include releases across multiple platforms, including PC, console and/or mobile.[7]+2 NetEase’s proprietary NeoX and Messiah engines support capabilities including lighting, audio, effects, physics and animation; Messiah is designed for mobile, while NeoX has been adapted for iOS and Android.[10]

For 2025, games and related value-added services generated RMB92.1 billion, about 81.8% of NetEase’s total revenue; online games accounted for 97.3% of games-segment revenue. Licensed games contributed 9.5% of total revenue.[11][12]

Youdao’s learning products include Dictionary Pen devices for scanning and translating text, with OCR and neural machine translation supporting offline word scanning and translation. Models include the X6 Pro, with AI grammar instruction and the Hi Echo language coach; the X7, with Hi Echo and Mr. P AI Tutor; and the A7 Pro, which offers instant scanning and translation. Its SpaceOne tutoring pen adds image recognition, photo-to-speech and voice dictation, while Space X supports scanning longer and multi-graphic questions, AI video explanations and an AI mistake ledger.[13][14] Youdao also offers AI advertising tools, including an automated ad-placement optimizer and the iMagicBox creative suite, alongside global marketing services.[15]+2 NetEase Cloud Music offers online music memberships and social-entertainment services such as livestreaming and social networking, monetized in part through subscriptions and virtual-item purchases; the cited descriptions do not specify its revenue share.[18][19] [7]+13

Geographic presence

NetEase’s operations and assets are concentrated in mainland China. In FY2025, mainland China accounted for 89.9% of revenue from reportable segments, and substantially all long-lived assets were located there; the company did not provide a further country or regional revenue breakdown. Its mainland China operations are conducted primarily through subsidiaries and contractual arrangements with variable-interest entities.[20][2]

The company has identified buildings and R&D centers in Shanghai, Hangzhou, and Guangzhou, an office building in Beijing, and a data center in Guizhou.[21] NetEase Games has also described offices or development locations in Canada, Japan, the United States, Singapore, South Korea, and the United Kingdom, indicating an international studio footprint; the available sources do not establish employee distribution or sales by these locations.[22][23] [20]+4

Business segments

NetEase reports four operating segments. For FY2025, Games and related value-added services—covering in-house-developed and licensed games and associated services—generated RMB92,148.6 million, approximately 81.8% of total revenue.[24]+3 Youdao, focused on learning services, smart learning devices, and online marketing, generated RMB5,909.0 million, or about 5.2%.[28]+4

NetEase Cloud Music, encompassing online music and social entertainment services, generated RMB7,759.5 million, approximately 6.9% of revenue.[31]+5 Innovative businesses and others—primarily Yanxuan, advertising, premium e-mail, and other value-added services—generated RMB6,808.7 million, or about 6.0%.[35]+4 Percentages are approximate and calculated against FY2025 total net revenue of RMB112,625.8 million.[27][26] [24]+13

Company history

Ding Lei founded NetEase in Guangzhou in 1997. The company expanded into internet services, launching free web email and the 163.com website in 1998, followed by advertising and online shopping services in 1999. NetEase listed on Nasdaq in 2000. It entered online entertainment in 2001 with its first fee-based MMORPG, Westward Journey Online, and launched Fantasy Westward Journey in 2004. The company established Youdao in 2006.[38]

NetEase launched NetEase Cloud Music and its first mobile game in 2013, then introduced its Yanxuan e-commerce business in 2016. Youdao listed on the New York Stock Exchange in 2019; that year, NetEase also agreed to sell its Kaola cross-border e-commerce platform to Alibaba. NetEase listed on the Hong Kong Stock Exchange in 2020, followed by NetEase Cloud Music in 2021.[38][39] [38][39]

Sources

• NetEase, Inc. — Full financial report (2025 Y)
  33 citations

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• ir.netease.com[3]
• ir.netease.com[11]
• NetEase, Inc. — Full financial report (2024 Y)[21]
• www.neteasegames.com[22]
• www.neteasegames.com[23]
• www.alibabagroup.com[39]