Japanese Gaming Industry Thrives: Bold Expansion Amid Global Cutbacks

The gaming sector has faced significant workforce reductions in recent years, yet some Japanese companies are choosing to expand instead. This distinctive approach marks a shift toward growth amid a broader global trend of downsizing.

The industry at large has seen substantial reductions, with about 10,000 jobs cut in 2023 and another 15,000 in 2024, including nearly 2,000 departures in just a single quarter this year. Despite these figures, the situation in Japan tells a different story.

Recent analyses reveal that several leading Japanese game developers have set new records on the stock market. Among these, five major firms stand out:

• One company is enjoying a long stretch of progress spanning over 13 years.
• Another has staged a notable return, celebrating the success of a celebrated franchise remake and announcing future projects in the series.
• Two more have experienced solid performance driven by their distinctive game consoles.
• A successful firm that encountered a challenging period last year is now forecasting record revenue figures in the near term.

This focus on maintaining robust employment, supported by rigorous guidelines governing staff changes, has encouraged these companies to invest in new hires instead of reducing their teams. The current trend suggests that the Japanese gaming industry is experiencing a level of strength reminiscent of the era when a prominent game console set the standard in the mid-1990s.