P.7 Message from the President (3)

Message from the President

Three growth engines, one future

Where should we concentrate our limited management re- sources? This is the very essence of management. That is why we must look to the future and clearly determine where to invest and where to take on challenges. I will concentrate the Group’s management resources on three growth engines that will support the Group’s sustain- able growth. Global, content IP, and EduTainment At first glance, these may appear to be three different business- es. However, they are all connected by a single thread. Taking on the world. Developing IP that people around the world will love. And nurturing leaders of tomorrow. Together, they form a single strategy born out of the TBS Group’s mission to “move people’s hearts and enrich people’s lives and society.” Shifting to a management approach with the world as our market I believe there are limits to a management approach based solely on the Japanese market. To achieve sustainable growth in Japan as its population continues to decline, we must shift to a manage- ment approach with the world as our market. However, this does not simply mean selling content produced in Japan overseas. To truly establish our presence in the world, we need a framework for creating content with top creators from around the world and developing IP that will be loved by global fans for a long time. As a first step, we entered into a strategic partnership with U.S.-based Legendary Entertainment. We are also steadily expanding our initiatives through collaboration with South Korea’s CJ ENM Co., Ltd., international co-productions through THE SEVEN, INC., and the creation of new content designed for global streaming. Today, content originating from Japan can reach over 190 countries and regions through global platforms like Netflix. We are not simply delivering Japanese con- tent to the world. We are taking on the challenge of creating IP in Japan that the world wants. We are now fully committed to this challenge. Special Dialogue with Tetsuko Kuroyanagi Elevating anime to the “Next Core Industry” Since taking office as President, one of the areas I have pursued with the strongest determination is anime. I believe anime is a culture and IP itself. It is shared by people around the world across borders and genera- tions, and continues to generate value for decades. This year, I visited Anime Expo in Los Angeles and experienced its tremendous energy firsthand. Fans of Japanese anime from around the world gathered there, connecting across borders through anime. Seeing this reaffirmed my conviction that anime has more potential as a culture that Japan can proudly share with the world. That is why I have no “Asobi! Manabi! × CREATIVE KIDS CAMP”: Abe interacting with children who will shape the future hesitation in investing in this field. We established SAND B, Inc. and are strengthening collaboration with creators and production studios both within and outside than simply “memorizing knowledge.” Education that fosters the Group. Welcoming Xenotoon into the Group is also part these abilities is what society will need in the years ahead. of this effort. Our goal is not a single hit title. It is to build a The TBS Group has continued to create content that capti- system for continuously creating IP that will be loved around vates people. Our EduTainment is about applying that strength the world. We aim to evolve from a company that simply pro- to education. Our efforts have already moved beyond concept duces content into a company that continuously creates IP. That to implementation through initiatives such as “AI for School,” is where we will build our competitive strength. a project selected by the Ministry of Education, Culture, Sports, Science and Technology, collaboration with NTT, one of Japan’s Making learning more enjoyable leading companies, and our partnership with YARUKI Switch The third pillar is EduTainment. I do not see it as a new busi- Group. Our goal is not simply to provide a new educational ness. I regard it as an investment in Japan’s future. Because service, but to create a society where children can genuinely we live in an era in which AI continues to evolve, the ability feel that “learning is fun.” This endeavor is also helping shape to “feel,” “think,” and “create” will become more important the future of Japan. 07