DeNA Co. has joined forces with animation studio E&H Production to develop digital tools designed to streamline anime production processes, as Japan’s animation industry faces mounting pressure from labor shortages and escalating costs.
The technology company announced plans to trial a “simple filming tool” in October that automates aspects of storyboard creation and video editing. The partnership aims to address chronic overwork, rising production expenses, and slow technological adoption that plague the sector, according to the companies.
The collaboration targets several production stages, including automated rough sketch processing, background creation, and character movement generation. DeNA’s proposed tool combines illustration capabilities with web-based viewing functions, potentially reducing the time needed for preliminary video creation from one week to a single day.
Japan’s anime industry generated $2.45 billion in revenue last year despite widespread production delays and labor shortages. Only 40% of production companies posted gains in 2024, while over one-third reported operating expenses exceeding revenues. Individual episodes of major series now cost up to $160,000 to produce, compared to roughly $70,000 for variety television shows.
The initiative reflects broader industry attempts to address structural problems through automation. Studios currently outsource labor-intensive tasks like “in-betweening” — creating transitional frames between key poses — which can be reduced by 40% using artificial intelligence. E&H Production, founded in 2021 by Jujutsu Kaisen director Sunghoo Park, represents a newer generation of studios seeking technological solutions.
Japan’s trade ministry announced in June it would establish an independent body to improve working conditions for animation professionals, acknowledging government concern over the industry’s sustainability. However, the effectiveness of private-sector digital solutions remains uncertain given the sector’s entrenched production committee system and cost pressures.
DeNA, primarily known for mobile gaming and healthcare technology, expects to implement the tools in actual productions by the end of fiscal 2025, pending trial results.