The companies are said to have financial disagreements.
According to Bloomberg's sources, Activision Blizzard and NetEase canceled the World of Warcraft mobile game that had been in development for 3 years because of financial terms disagreements.
The report states that NetEase disbanded a team of over 100 developers that worked on the game codenamed Neptune, an MMO RPG set in the World of Warcraft universe.
The decision is certainly interesting as Blizzard has been trying to get into the mobile gaming industry for some time now, announcing pre-registration for the action strategy game Warcraft Arclight Rumble in May and releasing Diablo Immortal in June, which is harshly criticized for its microtransactions policy.
Blizzard and NetEase have been partners since 2008. NetEase publishes World of Warcraft and other Blizzard games in China.
To learn more, check out the original report here.