Kaga Create

Kaga's video game division was founded on June 22, 1988 under the name 'Naxat'. The company is named from the backwards spelling of Taxan, which is a brand owned by its parent company.

To compete with Hudson's own Caravan video game marathon competitions in the late 80s, NAXAT held a similar competition dubbed Summer Carnival. The game for which the company is best known, Summer Carnival '92: Recca, commonly abbreviated to simply Recca, was created for this competition and named after it. The Summer Carnival was held for only three years and was not as successful as Hudson's.

In 1998, the company was renamed to Kaga Tech Co., Ltd, but the video games were still sold under the Naxat Soft brand.

In October 1999, Digital Gain Co., Ltd. was established, which was responsible for developing Naxat Soft titles.

Kaga Electronics merged KAGA TECH CO., LTD. and KANTO AUTOMATION Co., Ltd., on April 1, 2005. Under the terms of merger, the Amusement Machines Development Business of KAGA TECH CO., LTD. was transferred to the Specific Industry Sales Headquarters of KAGA ELECTRONICS, the Entrust Business for Game Software Development to the Digital Media Lab., Inc. (100% subsidiary of Kaga Electronics), and the Game Software Development Business to the subsidiary DIGITAL GAIN CO., LTD.

Digital Gain Co., Ltd. was renamed to Kaga Create Co., Ltd., on May 1, 2007. At the time of renaming, the company's business was expanded to graphic design, web page production, new source production, merchandise development, event promotion. It developed software for Pionesoft, Alchemist, and Milestone Inc.

In April 2010, Kaga Electronics Co., Ltd. acquired 51% of CyberFront Corporation, and became a subsidiary of Kaga Electronics. The remaining shares of CyberFront Corporation were acquired three years later in March. By December, Kaga Electronics Co., Ltd. began to shut down CyberFront Corporation following the discovery of inadequacies of CyberFront's intellectual property contracts and claims by business partners denying existence of such rights, and CyberFront Corporation founder Shinji Fujiwara's lack of cooperation in the investigation. As a result of dissolution, sales of Saints Row IV, Europa Universalis IV, and WRC 4: FIA World Rally Championship were cancelled, and the sales of Operation Abyss: New Tokyo Legacy were indefinitely delayed. Sales of titles at PlayStation Store were terminated from January 21–31, 2014, followed by sales termination at Xbox 360 Marketplace from January 25.