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CESA: 51% of Japanese game firms use AI in development

Japanese studios increasingly turn to AI for art, narrative, and coding, with Nintendo standing apart.

byKerem Gülen
September 29, 2025
in Gaming, Artificial Intelligence
Home News Gaming

A report from Japan’s Computer Entertainment Supplier’s Association (CESA) indicates more than half of surveyed Japanese game companies are using artificial intelligence in development. The claim is based on responses from 54 companies for a preview of an upcoming report.

The preview, reported by The Nikkei, is from the 2025 CESA Video Game Industry Report, which is scheduled for a full release in early December. The survey sample was drawn from CESA’s member companies, a list that includes major publishers such as Capcom, Konami, FromSoftware, Square Enix, and Sega, as well as smaller independent studios. CESA is the organizing body behind the annual Tokyo Games Show.

According to the preview data, 51 percent of the responding companies confirmed they are using AI. The most common applications cited were for the generation of visual assets and character images. Other primary uses included story and text generation, followed by programming support. The survey also found that 32 percent of the companies are using AI to develop their own proprietary game engines.

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Several Japanese companies have been open about their engagement with AI. In 2024, Square Enix CEO Takashi Kiryu stated the company would be “aggressive in applying AI.” Subsequently, developers for the company’s shooter, *Foamstars*, admitted they had “dabbled” with the technology during the game’s production.

Other publishers have also explored AI integration. In 2023, the publication Automaton reported that *Professor Layton* studio Level-5 used the AI tool Stable Diffusion. Earlier this year, Capcom was known to be experimenting with generative AI. Sega also maintains an established in-house AI team to work with the technology.

By contrast, Nintendo has publicly taken a different stance and is notably absent from the CESA member list. In a statement made last year, company executive Shigeru Miyamoto declared that Nintendo would “rather go in a different direction.” He linked this decision to the company’s fundamental pursuit of originality in its creative work.

The subject of AI was also a recurring theme at the recent Gamescom industry event. There, the technology was described by some independent studios as an invaluable tool for their development processes, indicating a wider trend within the global industry.


Featured image credit

Tags: CESAFeaturedGaming

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