The unbridled growth of Japan’s content exports have transformed the sector from what once was a cultural niche, to an industry titan. In 2023, overseas sales reached 5.8 trillion yen ($40.6bn), comparable to the entire export value of the semiconductor industry.

Legacy giants such as Nintendo, Sony, Square Enix and Toei Animation, still anchor the ecosystem. Yet the catalogue now runs from evergreen icons such as Pokémon, Dragon Ball, and Final Fantasy to fresher sensations including Demon Slayer, Jujutsu Kaisen, and the open-world video game blockbuster, Elden Ring. 

The appeal of Japanese content is derived from its idiosyncrasy - a distinct DNA of music, anime and gaming, buoyed by one of the most emphatic and resolute fan bases in the world. Fan communities, organised across Reddit, Discord and TikTok, now supply the marketing muscle once wielded only by studios; their passion invigorating newcomers such as YOASOBI, Ado and BABYMETAL onto global streaming charts as easily as it sustains Studio Ghibli marathons on Netflix.

Four key vectors continue to accelerate growth. First, relentless IP recycling stretches a story’s earning life to decades. Second, content is being tailored to a broader audience both at home and abroad. Third, alliances with streaming services deliver instant cross-border reach. And fourth, technology; from extended-reality (XR) attractions to AI-assisted animation pipelines, costs are being lowered and creative frontiers opened.

Yet the industry’s biggest threat lies in that same digital ether, particularly in the financial damages caused by large-scale piracy and the generative-AI tools that can clone iconic artistic styles, eroding the very intellectual property (IP) on which the growth depends. Navigating this challenge will be the defining task for the industry and its government partners.

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