[Tokyo (Japan) = E-Daily Reporter An Yu-ri ] Korean game companies have flocked to Japan in large numbers. A total of 127 Korean companies—ranging from major game companies such as Nexon, Netmarble Corporation, and NC to small and medium-sized and indie developers—have registered for this year’s Tokyo Game Show (TGS). This represents a significant increase of 50 companies compared to last year. Korean game companies have filled the void left by Chinese game companies, which withdrew en masse due to strained relations between China and Japan.

A total of 127 South Korean companies participated in the “Tokyo Game Show 2026 (TGS 2026),” which opened on the 17th at Makuhari Messe in Chiba Prefecture, Japan. Tetsuya Iguchi, President of Nikkei BP, which is involved in organizing the TGS, emphasized at the opening ceremony that day, “Following last year’s trend, more than half of the participating companies this year are from overseas, and the number of participating countries and regions has expanded to 53.” He added, “In particular, looking at participation by country, a staggering 127 companies from South Korea are participating.”

The so-called “3N”—Nexon ( Netmarble Corporation(251270)) and NC (NCsoftCorporation(036570))—all participated, and Smilegate also returned to the exhibition for the second consecutive year. Not only in terms of scale but also in terms of IP (intellectual property), the lineup was diverse, ranging from Japanese manga adaptations to globally successful IPs and original IPs. Small and medium-sized as well as indie game companies also participated in the Korea Pavilion, operated by the Korea Creative Content Agency, and the Busan Pavilion, organized by the Busan Information Industry Promotion Agency.

Nexon showcased “Mabinogi Mobile” and NEXON Games’ “Paraydolia.” Notably, “Paraydolia” is the next title from the development team behind “Blue Archive,” a leading subculture IP that achieved great success in Japan. Kim Yong-ha, Head of the IO Division at NEXON Games, introduced the game, saying, “It’s a new IP distinct from *Blue Archive*,” and added, “What’s new about it is that the characters are LD (7–8-head-height characters resembling real people) rather than SD, and they convey a sense of comfort found in everyday life.”

Smilegate also returned to TGS for the second consecutive year, following its debut last year. The company showcased “Future City: The Invisible Future” and “Dead Account: Two Blue Flames,” based on a Japanese manga.

Netmarble Corporation, which participated in TGS for the first time with its own booth last year, expanded both its booth and lineup of titles this year. The three titles are “Shangri-La Frontier: The Seven Strongest Species,” “I Alone Level Up: Karma,” and “Pearl in Blue.” “Shangri-La Frontier: The Seven Strongest Species” is based on a Japanese manga IP; Netmarble Corporation has been participating in the production committee and investing in the project since 2022 as part of its strategy to target the Japanese market.

NC showcased “Astrae Oratio,” published by NC and developed by Dynamis One. Set in a fictional Tokyo where reality and magic coexist, it is a “divine war magic RPG” characterized by its lyrical art style.

NHN(181710)NHN PlayArt, NC’s Japanese mobile game subsidiary, participated in the event and showcased seven games, including the upcoming title “Puchipoyong in the Fantasy World.”

NEXON Games vs. NCSoft and Dynamis One: Head-to-Head Booth Competition Draws Attention

Competition among Korean game companies has also intensified. At the exhibition hall, the booths for NEXON Games’ “Paraydolia” and NC’s “Astrae Oratio” stood side by side, facing each other and creating a competitive dynamic. Dynamis One is a development studio founded by CEO Park Byeong-rim and others after they left NEXON Games, where they had participated in the development of “Blue Archive.” NEXON Games and Dynamis One have since been embroiled in a legal dispute over allegations of the unauthorized removal of development materials.

Im Jong-kyu, a director at Dynamis One, drew a clear line, stating, “I don’t think this is the place to discuss legal matters,” and added, “Since the development of ‘Astrae Oratio’ is being carried out from scratch using a completely new model, there is no significant impact.”

Korean games also made active strides in the B2B sector. NEOWIZ(095660)signed an IP agreement for *The Legend of Heroes 3: The White Witch* with Nihon Falcom, a traditional Japanese RPG developer, ahead of the TGS opening. Additionally, AnchorNode, a company specializing in game AI, participated in this year’s TGS B2B AI Pavilion.

China Sweeps International Game Shows, Skips Tokyo… Japan Emphasizes Competitiveness of Traditional IPs

The moves by Korean game companies aligned with the TGS organizers’ need to fill the void left by China amid deteriorating Sino-Japanese relations. A total of 72 mainland Chinese companies participated in this year’s TGS—a decrease of 40 from last year’s 112, representing a 35.7% drop. The number of Hong Kong companies also plummeted from 18 last year to just 2 this year.

This stands in contrast to the scene just one month ago at Gamescom in Cologne, Germany, where Chinese game companies set up large booths and set out to target the European market. With the absence of Chinese game companies, the Business Day exhibition hall was relatively less crowded compared to last year.

The overall scale of the event, however, actually grew. This year’s participation reached an all-time high with 1,138 companies from 53 countries and regions. The event space was expanded to include not only the existing Makuhari Messe Exhibition Halls 1–11 and the International Conference Hall but also the TKP Tokyo Bay Makuhari Hall. Participation from other countries, including South Korea, Spain, the United Kingdom, and Canada, increased.

Japanese game companies defended their home turf by showcasing IPs they’ve built up over many years. During TGS, Sega and Atlus prominently featured titles such as “Stranger Than Heaven,” “Persona 4 Revival,” “Crazy Taxi World Tour,” and “Total War: Warhammer 40,000.” By showcasing both established IPs with long-standing fan bases and new titles, they attracted the attention of users not only in Japan but also overseas.

Shuhei Yoshida (Yosp), CEO of Sony PlayStation and often referred to as a “master” of the industry, stated, “Although some Chinese booths were absent this year, the event remains large in scale, and the potential of Korean and indie games is remarkable.” He added, “Among the popular Korean games that won awards at TGS 2026, I recommend trying out ‘Interscape.’”

Another notable change this year was that artificial intelligence (AI) has become a major topic in the Japanese game development scene. Following last year’s example, an AI Pavilion was set up in the B2B exhibition hall again this year, and the Computer Entertainment Suppliers Association (CESA) announced that 85.8% of its member companies are currently using AI.

CESA Chairman Haruhiro Tsujimoto said, “Recently, the Japanese government has also positioned the game industry as one of Japan’s growth sectors,” adding, “Games are not merely entertainment; they are a culture and industry that Japan takes pride in on the global stage, and their social role is gradually expanding.”