Over half of Japanese game companies are using artificial intelligence in development, according to a report preview from the Computer Entertainment Supplier’s Association (CESA), the organization that runs the Tokyo Games Show. The findings are based on a survey of 54 Japanese game companies, including CESA members such as Capcom, Konami, FromSoftware, Square Enix, and Sega.
The preview of the 2025 CESA Video Game Industry Report states that 51 percent of the surveyed companies are using AI. The most common applications include generating visual assets and character images, creating stories and text, and providing programming support. The data also showed that 32 percent of these companies are using AI to help develop their own game engines. The full report is set to be released in early December.
Some Japanese companies have been public about their AI adoption. In early 2024, Square Enix CEO Takashi Kiryu announced the company would be “aggressive in applying AI,” with developers later admitting they had “dabbled” with it for the game Foamstars. In 2023, Automaton reported that Level-5, the studio behind Professor Layton, used the AI tool Stable Diffusion. Capcom was also experimenting with generative AI earlier in 2024, while Sega has established an in-house AI team.
Conversely, Nintendo, which is not a CESA member, has publicly stated its opposition to using AI for creative purposes. Company creative fellow Shigeru Miyamoto said Nintendo would “rather go in a different direction” to preserve originality. The use of AI was also a frequent topic at Gamescom in 2024, with many independent studios describing it as an invaluable tool for development.




