Nexon CEO Lee Jung-hun directly acknowledged the slump in the Dungeon & Fighter franchise, naming the execution capabilities of Neople and Nexon—rather than external competition—as the key condition for a rebound. In an internal letter sent to employees alongside the Q3 earnings announcement, Lee also explained the decision to wrap up certain projects in 2026 and outlined principles for using AI in game production. The letter diverged from typical earnings updates, as the CEO proactively addressed painful internal issues rather than merely highlighting achievements.
Lee credited employees for Q3 financial results that exceeded company forecasts. He noted that what he most wanted to emphasize in the earnings announcement was how Nexon’s fundamentals have grown stronger through new game launches, new experiences in existing titles, and expansion into new markets. However, the core focus of the letter lay in the challenges that followed.
The first challenge was Dungeon & Fighter. Writing that "there are also tasks we must take heavily to heart," Lee shared that the Dungeon & Fighter franchise has endured a difficult year and that its Q3 performance fell short of expectations. Dungeon & Fighter remains one of Nexon’s core revenue drivers.
Even so, Lee asserted that the game's intrinsic competitiveness remains intact. He described Dungeon & Fighter as "a game with peerless competitiveness and a genre unto itself," adding that long-time partner Tencent shares the same view. In doing so, he identified the cause of the slump not in the lifespan of the IP, but in execution.
He sought the solution internally as well. Lee wrote, "Rather than external competition, we must now focus on enhancing our own execution to evolve Dungeon & Fighter to the next level." He explained that developer Neople and Nexon must unite to boost content productivity and improve live operations to get closer to players, which will allow Dungeon & Fighter to leap forward once again.
Neople experienced the gaming industry's first strike in 2025 over performance bonus distribution. Just one year later, Nexon's CEO held up "unity" between Neople and Nexon as the prerequisite for a rebound. Lee cited MapleStory as a precedent. MapleStory expanded into the idle RPG 'MapleStory Idle', 'MapleStory Classic'—which revives the original game's early experience—and the user-created content platform 'MapleStory Worlds'. Lee stated he believes Dungeon & Fighter can follow the same path, just as MapleStory proved that older IPs can achieve fresh growth.
The second challenge was project consolidation. Lee opened by stating, "I also want to speak candidly about the past year behind our performance, which was by no means easy." He explained that company-wide changes were pushed forward in 2026, leading to the difficult decision to sunset certain projects in the process. Acknowledging that this decision had a significant impact on employees, he wrote, "My heart is heavy as well."
Nevertheless, he stressed that the direction is clear. Lee explained that Nexon’s path forward is to concentrate the company’s capabilities and resources on projects that represent its future, ensuring those games leave a lasting impression on players and establish themselves in the market. He urged employees to understand that these changes were a necessary choice for the next leap forward. The letter did not specify which projects were canceled or how many employees were affected.
The third topic was AI. Noting that the utilization of new technologies like AI was another key topic in the earnings announcement, Lee emphasized Nexon’s philosophy: "Games are made by people." He explained that AI is a tool to reduce repetitive tasks and lower the cost of validating ideas, allowing developers to focus entirely on bringing enjoyment to players.
He also detailed the adoption approach. Lee shared that Nexon is introducing AI in phases, thoroughly validating applications starting in areas that do not directly alter the player experience. Acknowledging that players care deeply about how the games they play are made, he promised to establish and adhere to clear principles regarding where and how AI is utilized.
