Konami

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Konami Group Corporation, commonly called Konami, is a Japanese company that makes and sells video games, entertainment products, and other items worldwide. Its main office is in Chūō, Tokyo. Konami also creates and sells trading cards, anime, tokusatsu (a type of TV show with special effects), pachinko machines, slot machines, and arcade cabinets.

Konami Group Corporation, commonly called Konami, is a Japanese company that makes and sells video games, entertainment products, and other items worldwide. Its main office is in Chūō, Tokyo. Konami also creates and sells trading cards, anime, tokusatsu (a type of TV show with special effects), pachinko machines, slot machines, and arcade cabinets. The company has casinos in many countries and runs health and fitness clubs in Japan.

Konami was started in 1969 as a business that rented and fixed jukeboxes in Toyonaka, Osaka, Japan. The founder, Kagemasa Kōzuki, is still the company’s chairman. In addition to its main game development company, Konami owns Bemani, which is known for games like Dance Dance Revolution and Beatmania. Konami also has the rights to games made by Hudson Soft, a former game company that created Bomberman, Adventure Island, Bonk, Bloody Roar, and Star Soldier. Konami is the 20th largest game company in the world based on how much money it makes. It also publishes the Yu-Gi-Oh! Trading Card Game, one of the most popular trading card games ever. Konami’s video game series include Metal Gear, Silent Hill, Power Pros, Castlevania, Contra, Frogger, Tokimeki Memorial, Gradius, Parodius, Yu-Gi-Oh!, Suikoden, and eFootball (which includes earlier versions like International Superstar Soccer and Pro Evolution Soccer).

History

The company was started on March 21, 1969, as a business that rented and repaired jukeboxes in Toyonaka, Osaka. Three business partners—Kagemasa Kōzuki, Nakama, and Miyasako—founded it. Kōzuki and Miyasako met while working at Nippon Columbia’s Osaka branch. Nakama, who knew Miyasako, also worked in the music industry. The name "Konami" comes from a combination of their names. By 1973, the jukebox industry in Japan was declining, so the company changed to making electro-mechanical arcade games. On March 19, 1973, the company was officially registered as Konami Industry Co., Ltd. (Konami Kōgyō kabushiki gaisha). In the late 1970s, Konami began making video games for Leijac Corporation, an early video game publisher. Its first video game, Block Yard, a copy of Breakout, was released in August 1977. In January 1979, the company began selling products to the United States.

Konami became successful with arcade games in the early 1980s, starting with Scramble (1981), followed by popular games like Frogger (1981), Super Cobra (1981), Time Pilot (1982), Roc'n Rope (1983), Track & Field (1983), and Yie Ar Kung-Fu (1985). Many of these games were sold to other companies for release in the United States, including Centuri, Stern Electronics, Sega, and Gremlin Industries. In November 1982, Konami created a U.S. branch, Konami Inc. (later Konami of America Inc. and Konami Digital Entertainment Inc.), initially based in Torrance, California. In 1984, the branch moved to Buffalo Grove, Illinois, after buying Interlogic, Inc. Ben Harel, founder of Interlogic, became president of Konami Inc. During this time, Konami expanded into the home market after briefly releasing games for the Atari 2600 in 1982. In 1983, the company released games for the MSX home computer standard, and in 1985, for the Nintendo Entertainment System (NES). Many Konami franchises, such as Gradius, Castlevania, TwinBee, Ganbare Goemon, Contra, and Metal Gear, were created during this period. Konami also had success with licensed games like Teenage Mutant Ninja Turtles (TMNT). Due to the popularity of its arcade and NES games, Konami’s earnings grew from $10 million in 1987 to $300 million in 1991.

In June 1991, the company’s legal name was changed to Konami Co., Ltd. (Konami kabushiki gaisha). In April 1993, its headquarters moved to Minato, Tokyo. During this time, Konami supported 16-bit video game consoles, starting with the Super NES in 1990, followed by the PC Engine in 1991 and the Sega Genesis in 1992. In 1991, Konami introduced a new method to stop piracy in Teenage Mutant Ninja Turtles III: The Manhattan Project, released for the NES. If the game detected an unauthorized copy, it changed gameplay to make the game harder. Player damage was reduced, and enemies became stronger. The final boss, Shredder, became unbeatable, making the game impossible to finish. This measure discouraged people from using pirated copies.

After the launch of the Sega Saturn and PlayStation in 1994, Konami reorganized into business divisions, creating Konami Computer Entertainment (KCE) subsidiaries. These included KCE Tokyo and KCE Osaka (later KCE Studios) in April 1995, and KCE Japan (later Kojima Productions) in April 1996. Each KCE subsidiary developed different intellectual properties, such as KCE Tokyo’s Silent Hill series and KCE Japan’s Metal Gear Solid series (a revival of the Metal Gear series on MSX). In 1997, Konami started making rhythm games for arcades under the Bemani brand and entered the collectible card game business with Yu-Gi-Oh! Trading Card Game. Konami also expanded into the pachinko business, which played a major role in its success by introducing new characters.

In July 2000, the company’s English name was changed to Konami Corporation, but the Japanese name remained the same. As the company focused on sixth-generation consoles, it expanded into health and fitness by acquiring People Co., Ltd. and Daiei Olympic Sports Club, Inc. In August 2001, Konami invested in Hudson Soft, which became a subsidiary. In January 2003, Avranches Automatique began selling Konami’s arcade games in Europe outside the U.K. and Ireland. In February 2003, Betson Enterprises took over distribution in the U.S. Later, PMT Sales handled sales in the U.K. and Ireland. In March 2006, Konami merged its video game development divisions into a new subsidiary, Konami Digital Entertainment Co. (KDE), while the parent company became a holding company. In 2007, the headquarters moved to Minato, Tokyo. In January 2009, Electrocoin became the exclusive distributor of Konami’s arcade games in Europe, Russia, the Middle East, and Africa.

In 2012, Konami absorbed Hudson Soft, adding franchises like Adventure Island, Bonk, Bloody Roar, Bomberman, Far East of Eden, and Star Soldier. In April 2015, Konami left the New York Stock Exchange after dissolving its Kojima Productions subsidiary. Hideki Hayakawa, newly appointed president of Konami

Corporate structure

Konami's main office is in Tokyo. In the United States, Konami manages its digital, arcade, and trading card game business from Hawthorne, California, and its casino gaming business from Paradise, Nevada. Its operations in Australia are based in Sydney. As of March 2019, Konami owns 22 combined subsidiaries worldwide.

  • Konami Group Corporation: main holding company and headquarters.
  • Konami Digital Entertainment Co., Ltd.: plans, creates, sells, and develops mobile games, home games, card games, music and video software, and merchandise.
  • Konami Sports Co., Ltd.: manages fitness clubs and sports classes such as swimming, gymnastics, dance, soccer, tennis, and golf. It also makes and sells sports-related products.
  • Konami Amusement Co., Ltd.: produces, makes, and sells pachinko and pachislot machines.
  • Konami Arcade Games Co., Ltd.: produces, makes, and sells arcade machines.
  • Konami Business Expert Co., Ltd.
  • Konami Real Estate, Inc.
  • KPE, Inc.
  • Konami Gaming Technology Co., Ltd.: produces, makes, and distributes gaming machines and casino management systems.
  • Kōzuki Foundation
  • Konami Australia Pty Ltd (established in 1996): produces, makes, and distributes gaming machines and casino management systems.
  • Konami Digital Entertainment, Inc.: former American holding company, previously named Konami of America Inc. and Konami Corporation of America. On October 13, 2003, Konami Corporation of Redwood City, California, announced it would expand operations to El Segundo, California, under the new name Konami Digital Entertainment, Inc. Operations in Redwood City were moved to El Segundo in 2007 and later to Hawthorne, California, in 2021.
  • Konami Corporation of America: U.S.-based holding company.
  • Konami Gaming, Inc. in Paradise, Nevada: produces, makes, and distributes gaming machines and casino management systems.
  • Konami Cross Media NY.
  • Konami Digital Entertainment B.V.: European branch for publishing and distributing Konami products.
  • Konami Digital Entertainment Limited (科樂美數碼娛樂有限公司): established in September 1994 as Konami (Hong Kong) Limited. Korea and Singapore divisions were created in October 2000. In June 2001, the company was renamed Konami Marketing (Asia) Ltd. In March 2006, it became Konami Digital Entertainment Limited.

On November 7, 2005, Konami Corporation announced it would restructure by moving its Japanese Digital Entertainment Business under Konami Corporation. This business became Konami Digital Entertainment Co., Ltd. The new Konami Corporation was expected to begin operations on March 31, 2006.

Konami Digital Entertainment Co., Ltd. (株式会社コナミデジタルエンタテインメント) is Konami's Japanese video game development and publishing subsidiary, founded on March 31, 2006. Before Konami became a holding company in 2006, various Konami Digital Entertainment companies were established as holding companies or publishers. The last company, Konami Digital Entertainment Co., Ltd. in Japan, was separated from Konami Corporation during the restructuring process.

  • Konami Digital Entertainment, Inc.: North American division, established on October 13, 2003.
  • Konami Digital Entertainment BV: European division, established on April 1, 2003.
  • Konami Digital Entertainment Limited: Hong Kong division. Established in September 1994 as Konami (Hong Kong) Limited. In March 2006, it was renamed Konami Digital Entertainment Limited.
  • Konami Animation: anime studio established in 2023.

Konami Computer Entertainment Nagoya, Inc. (KCEN), founded on October 1, 1996, was closed down along with Konami Computer Entertainment Kobe, Inc. (KCEK) in December 2002. On December 16, 2004, Konami Corporation announced that Konami Online, Inc., Konami Computer Entertainment Studios, Inc., Konami Computer Entertainment Tokyo, Inc., and Konami Computer Entertainment Japan, Inc. would merge into Konami Corporation, effective April 1, 2005. On February 22, 2005, Konami Corporation announced that Konami Media Entertainment, Inc. would merge into Konami Corporation, effective March 1, 2005. On March 11, 2005, Konami Corporation announced that Konami Traumer, Inc. would merge back into Konami Corporation, effective June 1, 2005.

On January 5, 2006, Konami Corporation announced the merger of Konami Sports Corporation with its parent company, Konami Sports Life Corporation. The parent company would be dissolved, and Konami Sports would become a fully owned subsidiary of Konami Corporation after a share exchange between KC and KS. After the exchange, KS would be renamed Konami Sports & Life Co., Ltd. On February 28, 2006, Konami Sports Corporation merged with its parent company, Konami Sports Life Corporation, and became Konami Sports Corporation. On September 21, 2010, Konami Corporation announced an agreement to acquire Abilit Corporation through a share exchange. After the transaction, Abilit Corporation became a fully owned subsidiary of Konami Corporation, effective January 1, 2011. On January 1, 2011, Abilit Corporation was renamed Takasago Electric Industry Co., Ltd. As part of the acquisition, Biz Share Corporation also became a subsidiary of Konami Corporation.

On October 2, 2006, Konami Corporation announced it had completed the acquisition of mobile phone content developer Megacyber Corporation. On February 6, 2007, Konami Corporation announced that Megacyber Corporation would merge into Konami Digital Entertainment Co., Ltd., with Konami Digital Entertainment Co., Ltd. as the surviving company, effective April 1, 2007.

On April 1, 2011, Konami acquired video game developer Hudson Soft, a company in which Konami had held a controlling stake since April 11, 2005. On March 1, 2012, Hudson Soft merged with Konami Digital Entertainment, with Konami Digital Entertainment emerging as the surviving entity

Video games

Konami has created many popular video game series. These include the action game Castlevania, the survival horror game Silent Hill, the action shooter Contra, the platform adventure game Ganbare Goemon, the stealth action game Metal Gear, the role-playing game Suikoden, the rhythm game Bemani (which includes games like Dance Dance Revolution, Beatmania IIDX, GuitarFreaks, DrumMania, and Pop'n Music), the dance competition game Dancing with the Stars, the dating simulation game Tokimeki Memorial, and the football simulation game Pro Evolution Soccer.

Konami has also made shoot 'em up arcade games such as Gradius, Life Force, Time Pilot, Gyruss, Parodius, Axelay, and TwinBee. The company has licensed games based on cartoons, including Batman: The Animated Series, Teenage Mutant Ninja Turtles, Tiny Toon Adventures, and Animaniacs. Other games based on American cartoons like The Simpsons, Bucky O'Hare, G.I. Joe, X-Men, and The Goonies, as well as the French comic Asterix, have also been released by Konami on arcade machines or video game consoles.

Some of Konami's most well-known franchises include the survival horror game Silent Hill, the stealth action game Metal Gear, and the sports game Winning Eleven, which is a follow-up to the game International Superstar Soccer. In Japan, Konami is also known for the baseball game series Jikkyō Powerful Pro Yakyū and the action game series Zone of the Enders. Konami obtained the rights to the game Saw from Brash Entertainment after the game's production was paused due to financial problems.

Konami is famous for including secret codes in its games, which often give players special abilities. In 2024, FIFA announced Konami as its new official esports partner. This partnership allows FIFA to host the FIFAe World Cup using Konami's eFootball instead of EA Sports FC. Players can now compete in qualifying matches for two tournaments in 2024: one for mobile devices and one for consoles. This partnership aims to increase the visibility of eFootball and attract new players, especially those who were discouraged by previous issues with the game.

Film production

In 2006, Konami began making movies based on popular video game series. They created the movie Silent Hill, which was released that year, and said they would make a movie based on Metal Gear Solid. On December 4, 2020, the news website Deadline reported that actor Oscar Isaac would play the character Solid Snake in the Metal Gear Solid movie being made by Sony Pictures. The movie’s director would be Jordan Vogt-Roberts.

Personal computing

In 2020, Konami introduced a new PC gaming brand in Japan called Arespear. This brand includes desktop computers, keyboards, and headsets, with the headsets created together with Konami's Bemani musicians. These computers have been used in newer Bemani arcade cabinets to demonstrate their performance.

Controversies

In April 2015, Silent Hills, the ninth game in the Silent Hill series, was suddenly stopped without explanation. This decision came despite the success of P.T., a short game sample that received praise from critics. Shortly after the announcement, Konami removed itself from the New York Stock Exchange. Guillermo del Toro, who helped create Silent Hills, said the cancellation made no sense and criticized Konami’s decision to completely remove the game sample. He later said he would not work on another video game again.

In 2015, Konami’s CEO, Hideki Hayakawa, said the company would mostly stop making games for consoles and instead focus on mobile games. This decision was criticized by many gamers. Konami’s UK community manager, Graham Day, later said reports about stopping high-quality game development were likely based on a misunderstanding of Hayakawa’s comments.

On March 3, 2015, Konami announced it would reduce the independence of certain studios, including Kojima Productions. Reports suggested this change happened because of a disagreement between Hideo Kojima and Konami. Kojima’s name was later removed from marketing materials, and his title as an executive vice president was taken off Konami’s official list of leaders.

Later that year, Konami’s legal team prevented Hideo Kojima from receiving an award for Metal Gear Solid V: The Phantom Pain at The Game Awards 2015. The audience reacted negatively to this action, and the event host expressed disappointment. Actor Kiefer Sutherland accepted the award on Kojima’s behalf, and a choir sang a song from the game as a tribute. Kojima left Konami a few days later and started his own company again.

In August 2015, The Nikkei newspaper criticized Konami for treating employees unfairly. In June 2017, the same newspaper reported that Konami continued to have conflicts with Kojima Productions, including blocking the studio from getting health insurance and making it hard for former employees to find new jobs. Former employees were not allowed to mention their work with Konami on job applications. Konami also filed complaints against other game companies that hired ex-employees. One former employee said Konami threatened to take legal action against some ex-workers and even pressured one to close their new business.

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