It's been announced that Shenmue: The Animation, along with several other anime series, have been cancelled and are set to be removed from several streaming services. It's also been confirmed that Shenmue: The Animation will not continue and its planned second season has been cancelled.
As reported by Twitter account CN News/Schedules (thanks Dark Horizons), the shows being removed by Adult Swim are the aforementioned Shenmue anime, Blade Runner: Black Lotus, Fena: Pirate Princess, Lazor Wulf, and Tigtone. After the news broke, SVP of Action and Anime at Warner Discovery Jason DeMarco confirmed the removals as well as the cancellation of the second season of Shenmue: The Animation via his personal Twitter account.
DeMarco also seems to imply that all of these shows have been written off, similar to how the animated show Final Space was canned as a tax write-off. Unlike Final Space, it seems that at least the first season of Shenmue: The Animation will be available to watch over on Crunchyroll, as will the rest of anmie series removed by Adult Swim. Still it's likely to sting for Shenmue fans as DeMarco also claimed that the first season of Shenmue had done pretty well and that he and the team were "gearing up for a second."
It seems like Warner Discovery isn't quite done with its purge. The company has been steadily removed several animated programs from its services like HBO Max and it now looks like its set its sights on Cartoon Network, Adult Swim, and other properties that it owns. I'd like to say this is the end of the purge, but with how erratic the company is at the moment, we just have to hope our favorite shows aren't effected.
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