Bandai Namco Holdings will consolidate key functions of its visual and music operations as part of a major reorganization aimed at accelerating the global expansion of the Mobile Suit Gundam franchise and strengthening the use of music assets across its IP portfolio. Effective April 1, 2026, Bandai Namco Filmworks (BNFW) will absorb Sotsu's Gundam-related business and IP production operations, while Bandai Namco Music Live will integrate Sotsu's music publishing subsidiary.

The restructuring brings together activities that had long been divided between companies within the group. BNFW has served as the producer and copyright holder for the Gundam series, while Sotsu managed domestic and overseas licensing windows and commercialization. By unifying these functions under BNFW, Bandai Namco intends to create a more centralized licensor structure capable of faster decision-making and coordinated worldwide brand development.

The move also addresses music rights management. Sotsu Music Publishing, currently a wholly owned subsidiary of Sotsu, will become a direct subsidiary of Bandai Namco Music Live. Bandai Namco Music Live will transfer its own publishing operations to this company through an absorption split, consolidating control of music copyrights, master recordings, and related assets. The entity is expected to be renamed following the integration. The group said the change will allow closer coordination between animation and music businesses and more effective secondary use of songs and soundtracks across streaming, live events, and merchandise.

After the carve-out, Sotsu will continue its non-IP activities, focusing on sports advertising such as stadium signage and broadcast agency services. The company, founded in 1965, entered anime production in the 1970s and became a core partner in the Gundam business. Bandai Namco Holdings acquired Sotsu through a tender offer in 2019 with the long-term goal of internalizing Gundam licensing, but operations had remained split between Sotsu and BNFW until now.


Industry observers view the integration as the final step in aligning Gundam's complex rights structure inside the Bandai Namco group. Centralizing licensing under BNFW is expected to streamline negotiations with global partners, from toy and game manufacturers to streaming platforms, at a time when the franchise is expanding through new series, films, and large-scale projects such as Gundam Metaverse.

Bandai Namco said the reorganization is not limited to Gundam. By merging IP production capabilities accumulated separately at BNFW and Sotsu, the group aims to foster new original properties and broaden genres beyond its flagship brand. The music publishing consolidation is likewise intended to enhance cross-media strategies, using songs and artist activities to extend the lifecycle of animation titles.

Source: Animaton Business Journal, Otaku Lab