Prytania Media Files $900M Defamation Lawsuit Against NetEase Over Studio Closures

The lawsuit alleges NetEase spread false information about financial misconduct, leading to the collapse of Prytania Media and its subsidiaries.

Prytania Media, founded by Jeff and Annie Strain, is suing NetEase for defamation, unfair trade practices, and interference with business relations.
The lawsuit claims NetEase spread rumors of financial fraud and misuse of funds at Crop Circle Games, a Prytania subsidiary, causing investors to withdraw support.
NetEase denies the allegations, stating they are baseless and intends to defend itself vigorously in federal court.
The Strains allege NetEase resisted compliance with U.S. regulations, including disclosing ties to the Chinese Communist Party, which they say contributed to tensions.
The collapse of Prytania Media in 2024 led to the closure of multiple studios and layoffs, with the Strains now seeking $900 million in damages.