Kadokawa To Release 9,000 Titles A Year With Sony’s Backing By 2027

Sony’s investment has set the stage for Kadokawa to expand its publishing output (manga, light novels and other published works), aiming to release 9,000 titles annually by fiscal year 2027—a 1.5-fold increase from fiscal year 2023.

Kadokawa President Tsuyoshi Natsuno revealed the ambitious plan during an interview with Nikkei.

The initiative focuses on expanding the company’s core publishing business, which currently accounts for half of Kadokawa’s revenue.

Natsuno also indicated that the company’s initial target of 7,000 annual publications by fiscal year 2027 could be reached earlier, as soon as fiscal 2025.

To achieve this, Kadokawa plans to expand its editorial staff by 1.4 times, increasing to around 1,000 editors through mid-career hires.

This staffing increase is designed to maintain the current publication output per editor, avoiding overburdening the workforce while meeting ambitious growth targets.

Kadokawa also plans on leveraging its IP through a “media mix strategy” that transforms publications into other media like anime and games. A central component of this strategy is the diversification of Kadokawa’s original works.

“We want to create a system where pursuing variety and diversity in our works leads to major hits,” Natsuno stated.

Kadokawa is planning to increase its focus on overseas-originated IP, raising its share from the current 1% to 20–30% over the next decade.

Sony’s investment, finalized on Jan 7, 2025, involves the acquisition of a 10% stake in Kadokawa for approximately ¥50 billion (around 320 million USD). Of the investment, ¥20 billion is earmarked for creating and acquiring new IPs, and ¥30 billion will fuel international expansion efforts.

The overseas expansion will include setting up production and sales bases in English- and Chinese-speaking markets. The company is also exploring potential mergers and acquisitions with local firms to strengthen its presence in these regions.

Sony also owns Crunchyroll, which has over 15 million paid subscribers, and has already streamed more than 20 Kadokawa works starting in April 2024.

Sony Group President Hiroki Totoki highlighted the synergy between the two companies, stating, “By combining Kadokawa’s rich IP library with Sony’s strengths in global entertainment expansion, we aim to maximize the value of IP.”

Natsuno also emphasized the global appeal of Japanese content, noting its demand for live-action adaptations from Hollywood and Korean studios.

He remarked on the diversity of Japanese original works, saying, “Traveling overseas, I can feel firsthand the diversity of Japanese content.”

He contrasted this with Korea’s robust production systems but comparatively limited diversity in original works.

Source: Nikkei