Kadokawa Acknowledges Isekai Bubble Is Deflating in New Management Plan
In its new mid-term management plan, Kadokawa addresses recent financial losses tied to an over-reliance on proven genres like isekai. The company and others are still profitable but seeing reduced margins, with over 30 isekai anime releasing annually. The trend, rooted in self-published web novels on Narou, has been a low-cost, high-return model for publishers, but signs of saturation are prompting exploration of replacement genres.