KADOKAWA Establishes New Anime Studio "KADOKAWA CREATORS" Integrating Training and Production Focused on Young Talent ~Hiring Young Professionals as Employees to Train Them in Professional Environments, Building a Sustainable Production Foundation to Solve Issues in the Anime Industry~

KADOKAWA Corporation (Headquarters: Chiyoda-ku, Tokyo; President & CEO: Takeshi Summer, hereinafter referred to as "the Company") is launching "KADOKAWA CREATORS Inc." (Headquarters: Chiyoda-ku, Tokyo; President & CEO: Koichiro Natsume, hereinafter referred to as "KADOKAWA CREATORS"), a new studio integrating training and production, as the second initiative of its new concept "Cultivating Creators. Building a Place to Create." This studio will commence full operations in April, aiming to fundamentally strengthen the production system in the anime and live-action fields. This studio will provide an environment where young talent, including new graduates, can engage in actual production work from the beginning of their careers and aim to become creators who will lead the next generation. Under a stable employment environment through employee hiring, we will simultaneously promote talent development and the stabilization of the production base, which are challenges in the industry.

Background and Objectives: Challenging Structural Issues in the Anime Industry While the Japanese anime industry continues to expand globally, challenges such as "low retention rates of young creators" and "lack of training opportunities" persist on the ground. Data shows that the turnover rate in the anime industry is approximately 25% within four years and 68% within eight years (*). The current situation, where supervisors are overwhelmed with daily tasks and cannot dedicate time to skill transfer, and young individuals find it difficult to acquire systematic technical skills, is a serious industry-wide issue that threatens the future production system. Due to this overall talent shortage in the industry, securing resources from external studios is becoming increasingly difficult each year. We believe that to continue delivering high-quality IP stably, it is essential for our company to strengthen a "sustainable model" that nurtures talent internally and maintains a stable production base. Therefore, as the second initiative of our new concept "Cultivating Creators. Building a Place to Create.," we are establishing KADOKAWA CREATORS to accelerate investment in "people," who are the driving force behind IP creation and LTV maximization. Through this, we will further promote our basic strategy of "Global Media Mix with Technology" and directly address the industry's challenges.

* Source: "Current Status and Challenges of Japan's Anime Industry" (2024) by the Japan Research Institute

Three Features of "KADOKAWA CREATORS" 1. "Integrated Training and Production" Studio Combining Professional Production Hub and Educational Functions The studio's most distinctive feature is its "integrated training and production" system, where skills are acquired through practical work on actual production sites. In a practical environment that demands professional standards, we support the steady growth of young creators by having them gradually participate in actual production according to their individual skill levels. In terms of training, experienced creators who have been active on the front lines of anime production for many years are based here, and daily work itself is designed as a platform for skill transfer. To address the structural issue in the industry where opportunities for instruction are often lost due to being overwhelmed by daily tasks, this studio has established a system for learning skills directly from experienced professionals through practical work. This allows for the systematic acquisition of professional know-how. As a studio, it also functions as a high-quality production base responsible for keyframe and in-between animation production for KADOKAWA Group works. We will ensure a system capable of stably supplying high-quality deliverables in response to orders from the Group's prime contractor studios. By simultaneously achieving practical learning and high-quality production functions, we will enhance talent development and strengthen the overall production capabilities of the Group.

2. Stable Employment Environment through Employee Hiring We will employ young talent aspiring to become professionals as employees, guaranteeing a stable living foundation. By eliminating financial concerns and ensuring an environment where they can focus on honing their skills, we are building a system that allows young creators to remain professionals long-term and build their careers. Furthermore, this studio plans to move into "Studio One Base" (scheduled to open in Ikebukuro Sunshine City in Autumn 2026), which will consolidate the Group's anime production studios, and further strengthen the training system through collaboration between studios.

3. Introduction of Latest Equipment and Unique Educational Programs We are equipped with the latest digital production equipment to support skill acquisition in both hardware and software aspects. In terms of education, we are introducing unique programs such as "Animator Drill," which condenses the expertise of the production company "Doga Kobo" to learn the basics of drawing. By combining the latest equipment environment with a phased learning curriculum, we support efficient and systematic skill improvement. ■ Future Outlook: Establishing a Unique In-House, End-to-End Talent Development Ecosystem within the Group Moving forward, we will continue to secure motivated young talent through close collaboration with Vantan and various educational institutions within the Group. In the future, we aim to support the long-term career development of each individual creator, with the prospect of those who gain experience at this studio becoming key personnel at various studios within the Group, depending on their aspirations and aptitude. Furthermore, by increasing the ratio of in-house production led by young talent, we will secure a robust in-house production line that is not affected by external environmental changes. We aim to establish a unique, end-to-end talent development ecosystem within the Group, connecting educational institutions to KADOKAWA CREATORS and then to each production studio, serving as a role model for a sustainable production system capable of stably delivering high-quality IP in the future.

Comments Takeshi Kikuchi, Executive Officer, Chief Studio Officer, KADOKAWA Corporation: "As KADOKAWA's anime business expands, strengthening the production system at its core is an urgent task. The newly established KADOKAWA CREATORS is not merely an expansion of facilities but a strategic investment in 'people' who will play a central role in our new concept 'Cultivating Creators. Building a Place to Create.' Starting from here, we will build an ecosystem where talent circulates from the Group and affiliated educational institutions to the production sites, thereby solidifying a sustainable and high-quality production system."

Koichiro Natsume, President & CEO, KADOKAWA CREATORS Inc.: "Our company is a studio primarily responsible for the animation keyframes that form the foundation of KADOKAWA's anime works. As our name suggests, while many experienced anime creators are active, we will actively nurture new talent. This is a studio where individuals can learn while creating and cultivate the skills and speed of professional creators. We await the participation of motivated newcomers."

Company Profile Company Name: KADOKAWA CREATORS Inc.

Location: Fujimi, Chiyoda-ku, Tokyo

Officers: [President & CEO] Koichiro Natsume [Director] Junichiro Tamura [Director] Tsuyoshi Ishiwaki [Director] Tomoki Sugaya [Auditor] Tsutomu Morita

Established: March 2026

Number of Employees: Approximately 40

Business Activities: Animation Production

URL: https://creators.kadokawa.co.jp/

About the New Concept "Cultivating Creators. Building a Place to Create." This concept aims to fundamentally strengthen KADOKAWA's production system in the anime and live-action fields, expand production capabilities and creator support, and continue to enhance IP creation power and maximize LTV. ・First Initiative: Establishment of New Production Base "Studio One Base" (Scheduled for Autumn 2026)

A new production base will be established in Ikebukuro Sunshine City (Toshima-ku, Tokyo) to consolidate the Group's anime production studios. This will promote the efficiency of back-office functions, collaboration of know-how between studios, and the creation of an optimal environment where creators can focus on production.

About KADOKAWA KADOKAWA is a comprehensive entertainment company engaged in businesses such as publishing, anime and live-action video, games, web services, and education/EdTech. We discover talent from around the world to create diverse IP (Intellectual Property) and develop it across various media. We are promoting the maximization of IP value through our "Global Media Mix with Technology" strategy, which delivers created IP to the world through the use of technology. https://group.kadokawa.co.jp/ https://group.kadokawa.co.jp/sustainability/