Shenmue 4 Video ‘Has Absolutely No Connection’ to Developer Ys Net, and Now the Studio Is Threatening Legal Action as the Footage ‘Misleads Viewers Into Believing Such Content Is Official’

Shenmue developer Ys Net has threatened legal action over a widely-circulated video designed to look like leaked footage of Shenmue 4.

The footage popped up on social media last week and was promptly shared by numerous websites, even as questions regarding the video’s origins and authenticity swirled.

Now, Ys Net has released a statement to confirm that the footage “has absolutely no connection” to itself and uses the company’s logo without permission. Additionally, Ys Net claimed that such acts “may amount to trademark infringement and unfair competition” and therefore it was now preparing “appropriate measures” and exploring legal options.

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A trailer for Shenmue IV appears to have been leaked from Sega. It is not yet verified by Sega but it seems to be real. pic.twitter.com/GMOlFFgCuw

— SuperSisi (@SuperSisi) December 5, 2025

While some fans took the lengthy “Shenmue 4” clip as too elaborate to be fake, others pointed to a handful of wonky animation effects and its fan-baiting story to suggest it was an elaborate creation made by a fan using generative AI.

Just last month, IGN reported on the increasingly convincing AI-generated GTA 6 “leaks” that are racking up millions of views on social media, as many users simply take what they see at face value.

While generative AI and deepfake technology are nothing new, the past few months have seen a fresh generation of tools such as Sora 2 and Google’s Nano Banana Pro pump out generated content that’s now increasingly difficult to distinguish from the real thing. Last week’s Shenmue 4 video is, seemingly, yet another example of this.

“Ys Net Inc. has confirmed that a video has been posted on social media which uses our company logo without permission, falsely giving the impression that it is an an official ‘Shenmue 4’ related video produced by us,” the company wrote. “This video has absolutely no connection to Ys Net. Furthermore, at this time, Ys Net has not released any trailers, footage or other promotional materials related to ‘Shenmue 4.’

“We recognize that the unauthorized use of our logo, and any act that misleads viewers into believing such content is official, constitutes a serious issues that may amount to trademark infringement and unfair competition. W are currently working with relevant parties and preparing appropriate measures, including potential legal action.

“We sincerely apologize to our fans and all related parties for any confusion this may have caused. We will continue to ensure the proper and accurate dissemination of information, and we ask for your understanding and cooperation.”

As of now, it’s unknown if a fourth major Shenmue game will ever get made, though the franchise’s hardcore fanbase certainly hope it eventually happens. Last year, a group of fans paid to briefly rent a billboard in New York’s Times Square to highlight their hopes for a Shenmue 4. Alas, it’s unknown if the stunt had much impact.

Currently, Shenmue creator Yu Suzuki is working on an enhanced version of Shenmue 3, which wll see the 2019 action adventure release on new platforms with new features and enhanced visuals. Suzuki told IGN in 2023 that he wants to create a fourth game eventually but, following the poor critical reception of the third game, would look to make it more accessible to new fans.

“Rejoining Ryo Hazuki’s quest to avenge his father is exciting, but Shenmue 3 feels like a game that has ignored the innovation and progress of the last 20 years of video game development,” IGN wrote in our Shenmue 3 review, scoring the game 5/10.

Tom Phillips is IGN’s News Editor. You can reach Tom at [email protected] or find him on Bluesky @tomphillipseg.bsky.social