Toei Animation, Kodansha, and broadcaster TBS, among others, have invested in Japanese AI startup Preferred Networks Inc. (PFN), helping them secure ¥50 billion in fresh funding.
With this investment, Toei plans to expand its collaboration with PFN by integrating AI into its animation workflows, aiming to improve operational efficiency through AI.
The two companies have already worked together since 2021 on a background art support tool called Scenify. The investment will help expand that partnership, and the idea of setting up a joint venture is also under discussion.
TBS also aims to use PFN’s capabilities to streamline production and experiment with new forms of visual expression.
Preferred Networks Inc., founded in 2014, has grown rapidly through its work in deep learning and other advanced AI technologies. It is considered one of Japan’s top AI firms.
This latest round brings PFN’s total funding to ¥240 billion, including the ¥190 billion raised by the end of 2024. Alongside media firms, real estate developer Sekisui House and major financial institutions like Mizuho Bank, Sumitomo Mitsui Trust Bank, and Mitsubishi UFJ Trust also joined the round.
The company said the new funding will be used to strengthen its ability to develop and deliver cutting-edge AI solutions, including generative AI models, computing platforms, and AI-focused semiconductors.
Japanese corporations have been increasingly investing in AI companies recently. In 2024, Shueisha, Shogakukan, and Kadokawa had collectively invested ¥780 million in an AI-based manga translation company to accelerate the global distribution of Japanese content.
Additionally, Sony also said that they will be leveraging AI to boost its anime business and streamline production processes.
A report from NHK World-Japan had also highlighted how generative AI is being adopted in the anime and manga industries to ease production workloads and allow creators to focus on more creative aspects.
Source: Animation Business
