Will VTuber Industry in 2024 Open the Door to “X-Day”?

Impending “X-Day”

In February 2019, Osaka Takeshi, representative of Activ8 Inc. which operated the now-defunct VTuber Kizuna AI (affiliation: Kizuna AI Inc. / indefinite hiatus), predicted “X-Day” would arrive in 5 years when “Virtual Talents will Eventually Be Seen as Human Talents and Influencers.“

Although Activ8 has stepped down from running an outspoken VTuber talent operation and Kizuna AI has effectively ended, the spirit has carried over to the various agencies, groups, companies, and independent talents currently making strides in the industry, and 2023 was truly “An important year for VTuber talents to be seen as a competitor to human talents and influencers”. Therefore, next year is definitely expected to mark the X-Day.

Players Trying to Open the Door to “X-Day.”

hololive Production / COVER Corporation

Most likely to open the door to this X-Day are hololive Production and COVER Corporation, which are now among the largest in the industry, with their talent continuing to make great strides, and are nosing closer to human talent and influencers.

COVER, like Activ8, has been involved in the VTuber industry since its early days and has a success story of growing hololive Production with “Tokino Sora,” an old talent from 2017 debut generation. It is evident that they are still taking the direction that Kizuna AI once took in early days, and are certainly carrying on the DNA of the company’s development.

In hololive Production, Shirakami Fubuki, Houshou Marine, Hoshimachi Suisei, and many other talents have demonstrated their talents, appearing in various media and collaborating with companies and local governments one after another. These talents have expanded beyond the traditional VTuber linsteners and fans.Therefore, it can be said that we are approaching X-Day in 2023.

hololive Production / COVER has new challenges ahead in 2024, including the multifaceted live performance of hololive 5th fes. and metaverse service “HOLOEARTH”. If the agency and company’s efforts, such as the further success of the talents and the continuation of solid technological investments, continue, the possibility of opening the door to X-Day, when they will be seen as human talents and influencers, will increase.

Brave group Inc.

Brave group Inc. in 2024 may have the potential to match or even surpass the progress of hololive Production / COVER Corporation.

Brave group’s VTuber business was temporarily pushed to the brink by accusations against the former “Game Club Project,” but even under such circumstances, the company made efforts to invest in the future and restore trust with an eye to today’s future. As a result, the company has also established a hand-in-hand relationship with Studio LaRa, HIMEHINA operation, which once performed a song with accusatory content against the company in a live performance.

On the other hand, there was also the event of the transfer of “Aogiri High School,” which had been operated until then, to viviON.

These steady efforts have borne fruit, and the company has emerged as one of the major players in the industry. In April, VSPO!, the company’s leader, emerged as Japan’s No. 2 in terms of the average YouTube subscribers for affiliating talents, and the response to its new talent has been as strong as that of hololive Production in Japan.

As company name suggests, the company has been aggressively expanding business by raising funds and establishing local offices overseas, making it the company that has put the most effort into new development this year. 2024 is likely to be even more successful than this year, and it may be regarded as one of the new giants in VTuber industry.

Agencies, Groups and Companies Outside Japan

VTuber industry was big in Japan again this year, but this year also saw a great deal of attention paid to the progress made by non-Japanese agencies, groups, and companies.

After the end of COVID-19 pandemic, the number of VTuber listeners and fans outside of Japan has been decreasing since the time of coronavirus, but it has now recovered and is expected to make further progress.

In particular, Southeast Asia has made remarkable strides, with emerging agencies such as AKA Virtual in Indonesia (office in Japan) and Algorhythm Project in Thailand rapidly emerging from the ranks. Furthermore, Israeli / English-speaking idol and Canada’s Phase-Connect have also greatly increased their presence this year.

It is not uncommon for these talents to record subscriber, viewer, and audience numbers that match or exceed those of Japanese talent, and it is possible that they will be on par with leading Japanese talents and agencies in the coming year.

Issues for “X-Day”

WACTOR Production

And being “Seen as a human talents or influencers” means the same thing in terms of employment environment.

Earlier this year, a problem with the employment of Latin American talents at WACTOR Production surfaced. In the past, the agency has had a string of talents who have unnaturally suspended their activities, causing distrust and dissatisfaction among some listeners and fans, but these problems reached their peak with the suspension of popular talent Hina Misora.

Furthermore, WACTOR Production announced that it would disclose personal information about Hina Misora’s actor without her permission, and further announced that it would take legal action, which drew criticism from many listeners and fans.

Hina Misora, undeterred, resumed her activities as an independent talent, Meica, and today she is one of the most popular talent in Latin America. Today, she is one of the most popular talents in Latin America and continues to work with her friends who have also left WACTOR Production.

And these series of problems surrounding WACTOR Production may have influenced the harsh criticism directed at the NIJISANJI Project and ANYCOLOR Inc., as described below.

Next year will be an X-Day in terms of whether VTuber talents will be fully guaranteed the same employment environment as human talents and influencers.

NIJISANJI Project / ANYCOLOR Inc.

In May, Independent talent Sayu released the so-called “Zaion Document,” an accusatory document by former NIJISANJI Project‘s English group NIJISANJI EN (New) talent Zaion LanZa, whose contract was terminated by ANYCOLOR Inc.

The document addresses statements made by the NIJISANJI EN (New) side in Zaion’s termination letter, claiming that some of the statements are “Factually incorrect or out of context“. Other claims are made that the group’s management was “Minimally supportive of any exposure or harassment“.

The release of the “Zaion Document” sparked fierce “Black Company” criticism of the NIJISANJI Project and ANYCOLOR, causing the company to lose credibility mainly in the English-speaking world and significantly damaging the company’s business outside of Japan this year.

It is hard to deny that NIJISANJI Project and ANYCOLOR have had a “year filled with problems” this year, no matter how naively one may look at it.(The Virtual Talent Academy (VTA) has seen a large number of graduates and retirees, including a mass expulsion of its members; there is no indication that apologies or responses were adequately made to a string of scandals; and events such as “NIJISANJI Fest 2023” held in late December were riddled with confusion, to name but a few.

The result has been an attitude of disregard for talents, listeners, and fans, a lack of investment and growth strategies for the future, and a vicious fan community that slanders other companies, other agencies, and other groups, all of which have come to the surface, as a result, we have lost a great deal of credibility.

“Continued fixation on immediate profit and disdain for others, without paying attention to the talent and the community, will lead them closer and closer to spiritual bankruptcy.”

At this point, I must say that this company does not have the qualities to usher in X-Day.

The View “X-Day” Shows Us

In the first half of 2019, when “X-Day in 5 Years” was proposed, the issues surrounding the Game Club Project were in the spotlight, while the trend was shifting from the video posting style of solo talents who had supported the industry in its early days to streaming by talents affiliated with agencies and groups.

5 years have passed since then. During this period, due to the explosive growth in popularity of hololive Production and the growth of NIJISANJI Project, there was a time when both were considered to have taken center stage until around 2022, but in recent years, the aforementioned agencies, groups, and companies have emerged. In 2024, the year of X-Day, we can expect to see a flourishing of many new trends that are not biased toward any particular agencies and groups.

What kind of view will “X-Day” present to us?

(P2y.EN)