Shareholders Are Trying To Bully Elden Ring Maker FromSoftware in 2026

As of 2026, activist investors are actively challenging the management of Kadokawa Corporation, the parent company of Elden Ring developer FromSoftware, claiming that Shareholders Are Trying To Bully Elden Ring Maker into a more aggressive self-publishing strategy. The investment firm Oasis Management has launched a bid to remove Kadokawa CEO Takeshi Natsuno, citing alleged mismanagement and a failure to capture the full economic potential of the studio’s massive global hits. This conflict highlights a growing tension between traditional publishing models and the desire for developers to retain revenue from international sales.

The Oasis Management Bid and Kadokawa Management Controversy

The core of the dispute lies in a presentation provided by Oasis Management to Kadokawa investors in May 2026. The activist firm contends that under the leadership of Takeshi Natsuno, the company has failed to capitalize on the success of Elden Ring, which was released on February 25, 2022, for PC, PlayStation 5, Xbox One, PlayStation 4, and Xbox Series S/X. While the game achieved a critical Metacritic score of 95, Oasis points out that because Bandai Namco handled the international publishing, Kadokawa saw limited returns from the more than 90 percent of sales generated outside of Japan.

Oasis Management argues that the shift in the gaming industry toward digital distribution has lowered the barriers to entry for self-publishing. They claim to have been suggesting this transition to Kadokawa leadership since 2020. According to their research, self-publishing was briefly included in Kadokawa’s internal management plans in 2023, only to be removed from subsequent strategy documents. The firm asserts that if FromSoftware produces another title exceeding 30 million units, the current reliance on external partners will result in massive amounts of revenue being diverted away from Kadokawa shareholders.

Why Shareholders Are Pressuring FromSoftware to Change Publishing Models

The financial argument presented by Oasis is rooted in the scale of FromSoftware's recent output. By utilizing external partners, the studio effectively cedes a significant portion of its profit margins. Oasis believes that with the studio's increased headcount and expanded production capabilities, it is now primed to handle global distribution independently. This push for independence is not merely about operational control; it is a direct attempt to force management to prioritize shareholder dividends over legacy publishing agreements.

At In Game News, we have tracked how the industry has shifted toward developer-led publishing. For more background on these industry trends, see our industry analysis coverage. The primary concern for investors is that FromSoftware is currently functioning as a high-value asset for other companies rather than maximizing its own valuation within the Kadokawa ecosystem.

The Complexity of Intellectual Property Ownership

While the goal of self-publishing is clear to investors, the reality of intellectual property (IP) rights creates significant hurdles. FromSoftware successfully secured full ownership of the Elden Ring trademark, which would allow them to self-publish any future sequels or expansions. However, the studio does not possess the same level of control over its other iconic franchises. The following table outlines the current ownership status of key titles often discussed in the context of this investor dispute:

The fact that FromSoftware does not own the rights to Dark Souls, Demon’s Souls, or Bloodborne serves as a point of contention for Oasis Management. They argue that the studio’s inability to control the destiny of these titles is a strategic weakness. For further details on how these partnerships function, check our publishing deals archive.

Is FromSoftware Moving Toward Self-Publishing?

Despite the pressure from activist investors, there is evidence that the shift toward self-publishing may already be underway, independent of the current management conflict. The upcoming FromSoftware title, The Duskbloods, is reportedly fully owned by the studio, with the developer retaining all publishing rights. This suggests that the internal leadership at FromSoftware may have been planning for a transition to self-publishing long before the Oasis Management bid gained momentum.

The development cycle for major titles is lengthy. The success of Elden Ring was built on a foundation established years prior, with deals finalized as early as 2019. If the studio is indeed pivoting, the results of this change will likely not be fully visible until the release of future projects. For now, the conflict between Kadokawa’s leadership and its shareholders remains a central point of interest in the gaming business sector, as the industry watches to see if FromSoftware will continue to operate under its current model or strike out on its own.

Frequently Asked Questions

Why are shareholders pressuring FromSoftware to leave Bandai Namco?

Oasis Management argues that Kadokawa is losing significant revenue by allowing external partners like Bandai Namco to handle global publishing for hits like Elden Ring.

Is FromSoftware splitting from Bandai Namco in 2026?

There is no formal split, but FromSoftware is increasingly moving toward self-publishing, as evidenced by their control over the upcoming title The Duskbloods.

Does FromSoftware own the rights to all its games?

While FromSoftware owns the Elden Ring trademark, they do not own the rights to Dark Souls, Demon’s Souls, or Bloodborne, which are held by Bandai Namco and Sony.