1) Japan has a long history of video game development dating back to the early 1980s with arcade games and the Nintendo Entertainment System fueling growth of companies like Namco, Konami, and Capcom. 2) The video game industry grew significantly in the 1990s with the rise of third-party developers and consoles like the PlayStation and Sega Saturn bringing games into 3D. 3) While Japanese companies were once leaders in the global video game market, their market share has declined to around 15% as Western developers and platforms from Microsoft and Sony have grown in popularity internationally.