Karaoke is an amusement in which amateurs sing songs into a microphone, along with pre-recorded musical accompaniment. This Japanese invention has spread to various parts of the world. It is so popular that the Japanese word “karaoke” is understood worldwide, even without translation. A karaoke machine was originally developed as a method of warming up drinking parties or the like, and to place singers in temporary euphoria. Today, however, karaoke also serves as a means of recreation and relaxation at nursing, welfare facilities and other places. The market of the karaoke industry has expanded, the number of karaoke machine users now having reached 47,000,000 per year, who pay an estimated total of 740 billion yen for use fees. This report deals with the history, market and other issues related to the industry.

1. History
The first karaoke machine was created in 1971 by Mr. Daisuke Inoue, a musician in Kobe, Hyogo Prefecture. He was asked by a club customer to provide a recording of musical accompaniment so that the customer could use the tape to sing along to on a weekend company trip. Realizing the potential for the market, Inoue made eight-track karaoke tapes and a tape recorder that played for five minutes for a 100-yen coin. He found customers scrambling for a microphone to sing songs. The prosperity of the karaoke industry today is partly owing to the fact that Inoue leased the machines instead of selling them, and did not file a patent for his invention.

The origin of the word “karaoke,” which in Japanese means “empty orchestra,” is a slang expression for pre-recorded music tapes or records used by professional singers, when rehearsing their songs, as a substitute for a live performance by an orchestra.
In the 1980s, ten years after the invention, two technological milestones led to the dramatic growth of the karaoke industry in later years. One was video karaoke. Early karaoke machines used cassette tapes on which only the instrumental accompaniment of a song was recorded. With the invention of a video karaoke system in the early 1980s, attractive scenes suited to the selected songs were displayed on screen, to enliven the mood. Lyrics were also displayed on music video, including color changes synchronized with the reproduction of the music. The new machines also enabled users to change the tempo and pitch of the music at will; this enabled even tone-deaf people became able to sing songs like professional singers. The other milestone was the invention of an auto-changer (remote-control music selection function). This enabled nightclub/bar owners to cut labor costs, creating replacement demand for new karaoke machines. Subsequent technological breakthroughs that made karaoke machines usable for large numbers of users led to the creation and spread of the “karaoke box,” a small to medium private room containing karaoke equipment for a group of friends to rent in time increments.

The media formats in which music is recorded have changed with the times: from eight-track tape, compact cassette tape and laser disc to video compact disc. In 1992, on-line karaoke was introduced, and has prevailed.

The 1993 white paper on education issued by the Ministry of Education, Culture, Sports, Science and Technology reported the results of a survey of working adults on participation in cultural activities. In the survey, the largest number of respondents, 43.3%, cited karaoke as a cultural activity they are interested in. Tea ceremony, flower arrangement, gardening and shogi (Japanese chess), ranked second at 32.4%, followed by painting, sculpture, calligraphy and photography at 23.6%.

As world-wide evaluation of karaoke’s inventor, Daisuke Inoue was selected in 1999 by Time, a U.S. news magazine, as one of the 20 most influential Asians; in 2004, he was awarded the “Ig Nobel Peace Prize” for inventing karaoke, “thereby providing an entirely new way for people to learn to tolerate each other.” Japanese are often awkward in expressing themselves and are not generally good at smooth conversation at parties. Karaoke serves as a great ice-breaker, contributing to the creation of a friendly and cheerful atmosphere. Due to this feature, karaoke has spread not only within Japan, but also around the world.

2. Market Size
In fiscal 2005, major karaoke machine manufacturers sold 71,900 units, earning an estimated 90 billion yen in sales. The great majority of the machines sold, or 71,800 units, were on-line karaoke systems.

No official statistics are available regarding import and export of karaoke machines.
During the days of CD and laser disc karaoke, Japanese karaoke machines were exported. Currently, however, karaoke machines exports are practically nil, since almost all of the machines manufactured in Japan are on-line karaoke systems, as stated above. It is a matter of regret that, although karaoke is a culture or industry that originated in Japan and has spread to the world, it does not contribute to Japan at present in terms of trade balance. This situation seems to be connected with the fact that the inventor’s failure to apply for a patent contributed to the spread of karaoke, as mentioned earlier. On the other hand, as in the case of other electrical appliances, some Japanese manufacturers may have imported karaoke machines from overseas affiliated companies.

4. Future Prospects
As described above, karaoke was invented in Japan and has evolved constantly in tandem with cutting-edge technologies. Over the last decade, however, the number of users has been decreasing. The background of this trend may include the stagnant economy and diversification in amusement.

Meanwhile, in the aging society, karaoke is increasingly appreciated by users at nursing homes and welfare facilities as recreation. Although sales in this segment are small, the growth rate is remarkably high. Karaoke machine manufacturers have been striving to meet market needs by producing karaoke software that contains music for fitness exercises and numerous Japanese traditional songs for school music classes. According　to some reports, karaoke, as a form of musical therapy, also provides an effective means of rehabilitation for individuals suffering from language disability after cerebral apoplexy or dementia.

Currently, approximately two-thirds of all karaoke users are male. The companies are studying measures to increase female users. Some people have a constitutional aversion to karaoke, and karaoke can cause noise and other problems. Despite these negative aspects, everyone agrees that singing songs is basically a means of mental and physical refreshment.

We expect that the karaoke industry will continue to help make the world happier, while introducing new technologies to meet the needs of the times, and will develop into a trillion-yen industry.

(This report was compiled with assistance from “All-Japan Karaoke Industrialist Association,” including the use of its website as reference. The Association’s consent was obtained in advance. We are extremely grateful for their cooperation.)