CyberAgent is expanding its presence in Japan's animation industry through a combination of studio development and strategic investment, establishing a new animation studio under its subsidiary Colorful Palette while entering a business alliance with MAPPA.
On October 31, 2026, Colorful Palette announced the establishment of Latent One, a new animation production subsidiary focused on animation planning, production, and production management. Less than two weeks later, on November 11, CyberAgent announced a business partnership with MAPPA alongside an equity investment in the animation studio's parent company, MHD Co., Ltd. Financial details and the percentage of shares acquired were not disclosed.
The two developments represent further steps in CyberAgent's efforts to strengthen its animation production capabilities and expand its involvement across the anime business, from content development and production to distribution and merchandising.
Colorful Palette Establishes New Animation Studio
Latent One was established in October 2026 as a subsidiary of Colorful Palette, the CyberAgent Group company behind the mobile game Project Sekai: Colorful Stage! feat. Hatsune Miku. Led by representative director Riku Tsukada, the studio focuses on animation planning, production, and producing, with an emphasis on animation music videos and the development of original works.
The studio's first production was a 2D music video for Emerald, the sixth-anniversary song of Project Sekai, which was released on October 31. Beyond music-related animation, Latent One intends to develop original projects while creating an environment in which creators can fully exercise their individual creativity and artistic abilities.
Music Video for 6th Anniversary Song "Emereld"
The establishment adds another production entity to CyberAgent's growing anime business, which has increasingly emphasized developing in-house creative capabilities alongside its existing IP and media operations.
Strategic Partnership With MAPPA
CyberAgent's partnership with MAPPA marks another significant development in its expanding animation business. Alongside the business alliance, CyberAgent acquired an undisclosed equity stake in MHD, MAPPA's parent company, establishing a closer corporate and business relationship between the two groups.
Under the agreement, the companies intend to combine MAPPA's animation production expertise with CyberAgent Group's experience in media operations, gaming, and advertising. Their collaboration will cover a broad range of activities, from anime planning and production to broadcasting and streaming, game adaptations, merchandise, and events.
The partnership builds on an existing relationship between the two companies, which have previously collaborated on anime planning, broadcasting and streaming through CyberAgent's Abema platform, and game adaptations. Both companies cited shared values surrounding creative freedom and a creator-first approach as factors behind their decision to deepen their relationship.
From left to right: Takahiro Yamauchi (CyberAgent) and Manabu Ootsuka (MAPPA)
MAPPA will continue operating under its existing management structure, with the partnership providing opportunities for closer collaboration and the development of new projects. The investment in MHD further establishes a strategic connection between the two groups while allowing MAPPA to continue building on its established production identity.
CyberAgent Broadens Its Animation Business
These developments build on CyberAgent's broader efforts to establish animation as a major area of its entertainment business. The company established its Anime & IP Division in February 2024 to consolidate IP development, anime planning and production, advertising, promotion, and merchandising functions under a more integrated structure.
CyberAgent has also expanded its production infrastructure through the establishment of studios including CA Soa in January 2025 and Studio Kurm in October 2025, as well as the restructuring of CygamesPictures into a directly consolidated subsidiary under the new name Cypic in 2026.
The company's strategy extends beyond production itself. Through Abema, CyberAgent has maintained a significant presence in anime distribution, while its investment in anime IP and expansion into merchandising and other related businesses have provided additional channels for monetizing content.
The addition of Latent One and the partnership with MAPPA further broaden this approach. While the former strengthens the group's internal production network through a new studio,the latter creates opportunities to collaborate with an established animation studio and combine complementary business capabilities.
As competition for production resources and globally successful IP continues to intensify, CyberAgent's latest moves demonstrate its intention to strengthen its position across multiple stages of the anime business, combining internal production capabilities with external partnerships to expand the reach and commercial potential of Japanese animation.
Source: Nikkei, Branc, KAI-YOU, Gamebiz
