Sony Group Corporation has increased its investment in the global entertainment industry. This time, Sony officially became the largest shareholder in Kadokawa Corporation, a large company that also owns FromSoftware. This strategic move aims to expand the distribution and development of both companies' intellectual property (IP) in the global market.
Previously, rumors circulated that Sony would acquire Kadokawa. This was also confirmed by Kadokawa. Please note that what Sony is doing this time is only buying a large number of shares and becoming the largest shareholder, not a complete acquisition.
Kadokawa is a holding company that oversees several game studios, one of which is FromSoftware, the game developer behind the Elden Ring, Dark Souls, Armored Core, and Sekiro series: Shadow Die Twice. FromSoftware can be said to be one of the best developers whose games are always crowded and in demand by gamers.
Sony and Kadokawa Alliance
Sony increased its stake in Kadokawa Corporation to around 10 percent through the purchase of 12,054,100 new shares worth 50 billion yen (approximately $319 million or Rp4.9 trillion). With this investment, Sony is now the largest shareholder, surpassing Tencent which owns 6.86 percent of Kadokawa.
The alliance is designed to "maximize the value of both companies' IP globally and facilitate broader and deeper collaboration."
Key initiatives in this collaboration include:
- Live-action movie production based on the Kadokawa IP.
- Co-production of anime for the global market.
- Global distribution of Kadokawa's works through Sony platforms.
- Development of Kadokawa IP-based game.
CEO of Kadokawa Corporation, Takeshi Natsuno, stated, "We are very pleased to finalize this capital and business alliance agreement with Sony. This alliance is expected to not only strengthen our IP creation capabilities, but also enhance our media mix IP options with Sony's support for global expansion, allowing us to deliver our IP to more users around the world. We are confident that this will greatly contribute to the maximization of the value of our IP and increase the value of the company in the medium to long term."
Hiroki Totoki, President, COO and CFO of Sony Group Corporation, added, "Through this capital and business alliance, we will become the largest shareholder of Kadokawa, which has consistently created a wide range of IP, including publications and books such as light novels and comics, as well as games and anime. By combining Kadokawa's extensive IP creation ecosystem with Sony's strength, which has promoted the global expansion of various entertainment including anime and games, we plan to work closely together to realize Kadokawa's 'Global Media Mix' strategy and Sony's long-term vision, 'Creative Entertainment Vision.'"
Kadokawa Corporation
Kadokawa Corporation was founded in 1945 as Kadokawa Shoten. The company is known as a major publisher of light novels, manga, and books. In addition, Kadokawa is also the owner of game studios and anime producers that have gained global attention. Kadokawa is the parent company of FromSoftware, a developer of famous games such as Elden Ring, Dark Souls, and Sekiro.
Sony Group Corporation
Sony Group Corporation was founded in 1946 in Tokyo, Japan. The company is one of the global leaders in entertainment and technology. Sony's portfolio includes anime, games, music, and movies. Through its subsidiaries, such as Aniplex and Crunchyroll, Sony plays an important role in global anime distribution. In the gaming sector, Sony is the owner of various renowned studios that produce titles such as The Last of Us, God of War, and Spider-Man.
With this alliance, Sony further strengthens its position in the global entertainment industry. Their focus on cross-media IP integration is expected to bring new innovations and reach a wider audience.
Source: Official Press Release
