Japanese Animation Studio Has Global Potential, Receives Silicon Valley Investment

Recently Silicon Valley-based Fenox Venture Capital announced its investment in Japan’s Dream Link Entertainment Inc., which it notes is the largest Flash animation company in that country.

I was initially a little curious as to why Fenox would be interested in investing in a Flash animation company, given the current trajectory of Flash as a technology. I’m told that the draw of DLE as a company is in the popular characters it has created, and in its style of animation and storytelling – which the firm believes has huge potential in the global market. DLE animations have previously won ‘Best Animation’ and ‘Best Director’ at the New York International Independent Film and Video Festival. A Fenox representative further explains:

DLE has the choice of supporting any animation software, in order to reach the largest possible target audience. The real opportunity in DLE is their ownership of a stable of popular characters and the team of creative talents behind them, who can continue to create new characters.

I understand that DLE currently brings in over $10 million in annual revenue, although currently its audiences are primarily in Japan. Fenox aspires to help the studio break into the North American market, and DLE is working to convert game characters into animation characters for more sales possibilities.

The Fenox rep with whom I spoke even alluded to the possibility of theme parks centered around DLE characters, which echoes Rovio’s real-world merchandising and marketing tactics with Angry Birds.

If you’d like to check out some of the animation that has impressed Fenox Venture Capital so highly, I encourage you to browse DLE’s YouTube channel where you’ll find lots of fun videos. Or for starters you can check out the very humorous clip of Eagle Talon below, which includes subtitles.