Sony's Planned Acquisition of Kadokawa: Employee Enthusiasm Despite Potential Loss of Independence

Sony's confirmed bid to acquire the Japanese conglomerate Kadokawa has been met with surprising optimism from Kadokawa's employees, despite the potential loss of independence. While negotiations are ongoing, the reaction highlights underlying issues within Kadokawa and a perceived benefit from Sony's involvement.
A Strategic Move for Sony, Potentially Less So for Kadokawa

Economic analyst Takahiro Suzuki, as reported by Weekly Bunshun, suggests the acquisition is more advantageous for Sony. Sony's shift towards the entertainment sector necessitates a stronger IP portfolio, a weakness Kadokawa readily addresses. Kadokawa boasts a significant library of IPs, including popular anime like Oshi no Ko and Dungeon Meshi, and the critically acclaimed game Elden Ring.
However, this acquisition could compromise Kadokawa's autonomy. As noted by Automaton West, increased oversight from Sony might restrict Kadokawa's creative freedom, potentially impacting projects not directly contributing to IP development.
Kadokawa Employees Welcome the Change

Despite the potential drawbacks, Weekly Bunshun reports a largely positive employee response to the potential acquisition. Many employees reportedly favor Sony's takeover, viewing it as a preferable alternative to the current leadership.
This positive sentiment stems from widespread dissatisfaction with the current Natsuno administration, particularly its handling of a June cyberattack by the BlackSuit hacking group. The attack resulted in a massive data breach, compromising sensitive information including employee personal data. The perceived inadequate response from President and CEO Takeshi Natsuno has fueled employee discontent, leading to hopes that a Sony acquisition will bring about leadership changes. The prevailing sentiment seems to be: "Why not Sony?"
The situation presents a complex picture. While Kadokawa may lose some independence, the potential for improved management and strategic benefits for Sony could outweigh the risks for many within the company. The outcome of the ongoing negotiations remains to be seen.