Sony Boosts IP Production with Kadokawa Investment

Kadokawa, now a Sony Group subsidiary, sets ambitious publishing goals. Aiming for 9,000 original IP titles annually by fiscal year 2027, this represents a significant 1.5x increase from their 2023 output.

This aggressive expansion strategy follows Sony's substantial investment, securing a 10% stake in Kadokawa. President Takeshi Natsuno, in an interview with Nikkei, outlined a plan to leverage Sony's global distribution network for international market penetration. A medium-term plan projects 7,000 titles by fiscal 2025.

To support this growth, Kadokawa plans to expand its editorial team by 40%, aiming for approximately 1,000 staff. This strategic increase in personnel aims to enhance efficiency and avoid overworking employees.

Kadokawa's strategy includes a "media mix" approach, expanding existing IPs through anime and game adaptations. Natsuno emphasizes the goal of creating a diverse portfolio that yields significant successes.

This collaboration benefits Sony, particularly Crunchyroll, their anime streaming service with over 15 million subscribers. The partnership will significantly expand Crunchyroll's anime library with Kadokawa's extensive IP catalog.

Kadokawa's IP portfolio is substantial, including titles like Bungo Stray Dogs, Oshi no Ko, and The Rising of the Shield Hero, alongside popular video game IPs such as Elden Ring and the Danganronpa series. Sony's interest in multimedia expansion, encompassing live-action adaptations and international distribution, aligns perfectly with this partnership.