As anime continues its conquest of the entertainment industry, anime content giants likeKadokawaare perfectly positioned to capitalize on the global boom in anime popularity. So, when Kadokawa announced it was putting itself up for sale, it’s no surprise that a blue-chip entertainment company likeSonyexpressed a profound interest.
When news broke of a potential Kadokawa-Sony partnership, much of the attention centered on the synergies between Sony’s strong presence in the video gaming industry and Kadokawa’s portfolio of award-winning gaming content. However, as reported byBloomberg, Sony wasn’t initially interested in Kadokawa’s gaming assets. Instead,its focus was solely on Kadokawa’s anime and manga divisions. For anime fans, Sony’s pursuit of Kadokawa’s anime and manga IP should raise some concerns, as it could, in the long run, result in a real monopoly.
If There Ever Was an Anime Content Company For Sony to Buy, It Is Kadokawa
Kodakawa’s Has One of the Most Lucrative Stables of Anime Content in the World
While Shueisha’sWeekly Shōnen Jumpand Kodansha’sWeekly Shōnen Magazinedominate anime and manga news in the West, Kadokawa Publishing is no slouch. Established in the months following the end of World War II, according to the officialKadokawa Groupwebsite, it set out “to revitalize Japanese culture through publishing.” Naturally, with manga being Japan’s huge contribution to global culture, it wasn’t long before the company made manga a cornerstone of its development. Since then, Kadokawa has become one of the world’s biggest publishers and producers of manga and anime content.
Indeed, Kadokawa has shined especially for its monopoly on the prolific isekai genre, expressed through several media, beginning from the light novels that then produce successful manga and, more importantly, anime adaptations. The company also publishes successful manga, such asDelicious in Dungeon, recently adapted into a hit anime. Kadokawa is home to some of the most cherished and iconic manga and anime titles,includingRe:Zero,Sword Art Online, andOshi no Ko.
Indeed, as anime, manga, and gaming —another area of strength for Kadokawa— have surged in popularity over the past decade, the company has attracted interest from potential buyers. Unlike Shueisha and Kodansha, which are privately owned, Kadokawa is a publicly traded company. This status makes it more vulnerable to takeover attempts, as a lucrative stock offer could easily sway shareholders to sell. However, any such interest from potential suitors has been firmly suppressed by co-founder Tsuguhiko Kadokawa, who remains committed to keeping the publisher independent.
According toBloomberg, Tsuguhiko Kadokawa was forced to resign as company head in 2022. Following his departure,Kadokawa’s new leadership revisited the idea of selling the company— or at least entertaining offers from potential buyers.Chief among Kadokawa’s suitors was Sony, which its leadership appeared inclined to sell to except for one major issue. Sony had no desire to acquire the entire company. Instead, it was only interested in Kadokawa’s manga and anime assets Talks between the two companies are ongoing, though a key issue remains Kadokawa’s preference to sell as a whole.
A Sony Acquisition Of Kadokawa Would Produce An Industry Super-Power
If the two companies can resolve their differences, they could create an anime powerhouse unlike anything the world has ever seen. To grasp the potential impact of a Kadokawa-Sony merger, it’s crucial to understand what each brings to the table. Kadokawa’s anime division, much like its light novel and manga counterpart, not only holds a treasure trove of classic series but also consistently delivers a steady stream of new productions. Kadokawa also owns several anime-related ventures and services, including Anime News Network, further solidifying its influence in the industry.
As for Sony, it is not only one of the largest entertainment companies in the world, with a global reach few can rival, but it also brings several key assets to the table.Sony owns Aniplex, a major player in anime production responsible for hits likeDemon SlayerandSpy x Family. Additionally,Sony owns Crunchyroll, one of the leading distributors of anime outside Japan. Sony Pictures, along with its subdivision Sony Pictures Animation, further enhances the company’s ability to add value to any anime-related production.
While integrating Kadokawa’s assets may take time, a potential acquisition would ultimately create an anime powerhouse.Once harmonized,Sony would control the entire anime creation process, from conception to distribution. They’ll have decades of content to draw from, plus new light novels published every year. Once an idea is selected, they have an extensive network of studio resources to produce it. After production, their massive global distribution network, including Crunchyroll, ensures the anime reaches fans worldwide. And when it comes to promotion, who better to break the news thanAnime News Network?
By consolidating manga and light novel publishing, anime production, distribution, and media ventures,Sony would position itself as a dominant force in the anime market. While this might not technically constitute a monopoly — given the presence of other major players like Shueisha, Kodansha, Netflix, Disney+, Toei Animation, and Sunrise Filmworks, all capable of competing with Sony on their own terms —a Sony acquisition of Kadokawa would undoubtedly shift the balance of power, changing the anime landscape forever.
