After he betrayed Heihachi and sided with Kazuya at The King of Iron Fist Tournament 2, Lee was expelled from the Mishima Zaibatsu.

For quite sometime, thoughts of revenge consumed Lee. Eventually, he realized that it was pointless to kill an old man who probably had only a few years left in his life at best. With that realization, Lee distanced himself from fighting and moved to a mansion in the Bahamas to lead a solitary life.

One day, he discovered a huge sell-off of G Corporation’s stock online. Lee’s intuition told him that something happened within the company. His intuition was correct. He hacked into their classified computer network and accessed their internal corporate communications. Lee learned that the Mishima Zaibatsu attacked G Corporation and caused significant damage to their research facilities.

He also came across information that a new life form under development by the Mishima Zaibatsu would be completed by next year. In order to complete the life form, however, it appeared that they were missing a critical component...

Oddly enough, an announcement was made for The King of Iron Fist Tournament 4 around the same time. Lee’s fading passion for fighting was rekindled - along with his resentment towards the Mishima clan.

In order to prevent the Mishima Zaibatsu from discovering his true identity, Lee signed up for the Tournament online under a false name. As an additional measure to mask his identity, he dyed his gleaming silver hair purple.