At the end of the trailer, the moderator said, "Monsters, Inc. was cute!"

To that, Nomura replied with a bitter laugh, "Monsters, Inc. cute?" He continued, "Since this video is still in a development stage, I think that it will look even better in the end. The production of Kingdom Hearts III is going considerably well."

Next, a "Making of Kingdom Hearts III" video was presented, in which a lot of information and scenes with the developing team were shown, mostly videos taken at the Square Enix offices in Tokyo and Osaka. A lot of PC screens were shown. At a D23 Kingdom Hearts Event Development Team round-table discussion, Nomura said, "Since we can't freely give a progress report, is there something you want to tell this machine [the camera]?" This is because as Disney is involved, live-streaming was not a possibility.

The video contained a lot of discussion about the production process.

For cutscenes, a scenario and storyboard are firstly created from concept art. Based on that, voices and audio are recorded, and from that animation is created; then one can progress by the flow of the layout performance. While adjusting the simple model, the conversions for things like camera angles and scenes are decided.

From this procedure, the storyboard of a scene in Tangled’s world was shown. "This is the scene at the beginning of Tangled," a staff member explains, "It is not displayed properly [the background is monochrome], but it will be improved later.”

The new lighting team established for Kingdom Hearts III focus on complementing the gameplay and cutscenes with real lighting effects. “Depending on the light, what you can see gradually changes,” stated the game's co-director, Tai Yasue. He showed how the light’s presence and place changed in the “Toy Story” world. “Right now my top priority is making sure the characters appear cute, and that their beauty can be appreciated. For example, if the light come from the left, their face will become darker, so we’ll put the light on the front.”

On the screen was shown a scene where the audience saw Sora, Donald and Goofy casted by a CG light. A development team member commented, “For cutscenes, we put facial expressions on the characters beforehand, and then we animate them.”

The animation production team, specializing in facial expressions, were implementing a system that allows Sora's eyebrows and eyes, mouth corners and other parts to operate together and move, resulting in a rich facial expression. Sora's facial animation was shown without his bangs. They moved his eyelids, mouth, etc. to show the animation and lip-syncing.

In past games, each motion was attached manually one by one. But this time, physical control is incorporated, and Rapunzel's hair (alongside other things) is "calculated and done on the hard side, and the program runs on". Rapunzel's hair meets various objects on the map, so it is difficult to move while not interfering with them. It seems the physics calculations for Rapunzel's hair (eg. dragging, following the terrain, blowing in the wind) took a lot of time to develop, so they didn't have a new video for this. If her hair is in a place where the wind is blowing it, will move naturally. Also, Rapunzel can wrap her hair around a tree and rotate. According to Mr. Yasue, "There are a variety of methods for attack and she reacts based on the different terrains."

"So far we only showed the world [of Tangled], but we could hardly publish Rapunzel’s model. Her hair was difficult to handle, it took time. We had to make sure that when the wind blows it creates waves on her hair and clothes.”

Nomura added, “Sora was always stepping on it [Rapunzel's hair].”

On the screen, they showed how the wind made her hair and clothes move lively as Rapunzel’s model was moving or standing put. In addition, Rapunzel held her hair while walking, but there was still a part that hung on the ground. That was how Sora was able to step on it.

Sora was shown to fight a pudding Heartless, with fresh cream and fruits for its eyes and mouth; according to sora_donald, it looked like the Mushroom XIII. This type of Heartless is different depending on the fruit on its head, like an accessory, that the characters can ride on, changing the way one plays. This element of "speed-running" involved allows for "each [Heartless to have] its own mission," as stated by Yasue. He said, "This is a rare heartless, the strategy to defeat it is different depending on the fruit on its head. It looks delicious, right? [laughs] It exists as an additional element in the game.”

Speaking of movement between the worlds, the Gummi Ship was discussed. This time, Gummi Ship missions are divided into a combat phase and a search phase. After defeating the enemies, one can go into the latter mode and search for routes and treasure while moving freely at 360° on the map. On the screen, scenes where the Gummi ship lock on enemy ships and shoot at obstacles were shown. When they were destroyed, prizes dropped. The HP balls, medals, etc. design shown were the same as those in Kingdom Hearts II. "The Gummi Ship has the feel of an open world," said Yasue. "We cannot talk about it yet, but at first glance this is something that is beyond KH’s worldview and out of bounds. [laughs]"

There was then a mysterious man drawn with black lines. They turned the layers on and off, changed the display of the arms and legs. (This was possibly the Giant from Giantland, according to our research and resources.)

A simple LSI game, like Game and Watch, based on the Disney short Giantland, was projected on screen. A small Sora was shown avoiding the attack of a huge enemy, while there was also a display of a screen frame and button, like a game within a game.

"I finally implemented a long-cherished dream," stated Nomura who seemed to be planning something with vigor.

Part of the map of Tangled was also released. There are many people in the castle town, leading to a lively atmosphere. It is pretty new for a town in the series to have many NPCs. sora_donald observed that, similar to Final Fantasy XV, there seemed to be an active effort to avoid collisions and bumping.

"This is the castle town of Rapunzel ... But wow! There are people in a town for the first time! There is also water that comes from the outside and goes into the town.” Sora walked in. It appeared that Sora could dive and swim in the water.

A development team member explained, "The dive animation is not done yet."

In the castle town, Rapunzel sees her childhood in paintings. Sora, Donald, and Goofy appear in the scene. Since Rapunzel's face was still in production, her eyebrows disappeared along the way and her expression looked strange up on the big screen. The hall filled with laughter.

"This cutscene is still in progress. Since it’s not complete sometimes eyebrows disappear... [laughs]”

Sora’s actions, such as him jumping into water and swimming, and a scene of Rapunzel spinning happily, admiring her hair knitted with flowers, appeared in some of Tangled’s cutscenes that were shown.

A hand-drawn picture of Rapunzel by the window was also shown.

On the screen, there was a scene where Rapunzel gazed outside from the tower; the background and model are uncolored. Rapunzel was looking at many square blocks where “?” were written on them.

Nomura asked, "Can you actually ascend the tower? From the inside?"

A development staff replies, "No, from the outside.”

One could also see the work of the Keyblade production staff. A staff member introduced himself with: "I create weapons.”

Nomura jokingly called him a "Weapon Merchant."

"The ideas come in 2D, that’s a flow of suggestions for the project.”

There were many Keyblades drawn in black lines on the screen. The Keyblade of Monsters, Inc. is a structure with various parts gathered together. When doing the design, they analyzed the scenes of the movie in detail, and extracted parts from there and summarized it. Because the expressiveness of game hardware is rising, they seemed to make suggestions that create a luxurious effect.

They show what seemed to be Marluxia’s subordinates Nobodies in a rough picture, and an enemy ship that looks like the Gummi Ship. It seemed there were more than 30 enemies for the Gummi Ship stages. Also, Gummi Ships could have optional decorations attached. For that motif, Nomura's love for cats was displayed too as an example of customization.

Everything in Kingdom Hearts III is in a "whole new league of its own."

Next, Nomura and Yasue gathered three of the other core development staff together in a progress meeting to discuss news regarding the game’s development status. The main part character production work is nearly complete. "The character team still has time on their hands," Nomura said. He made comments such as:“It’s because these guys don’t move. [...] Isn’t it bad that they don’t move, like stick people? Do you understand?” He said this while pressing in closer towards the staff for a response.

The background, among the ten* worlds and other things that were being worked on, are divided into three major areas: the beginning locations, mid-level locations, and the final locations. In the beginning locations, Monsters, Inc. and Toy Story are included, and are about 90% completed. Mid-level locations, including Tangled, are about 60 to 70% finished. The background team is probably the largest in Square Enix, and, in addition to the Osaka and Tokyo teams, there are orders being carried out by outsourced foreign company employees.

One of the development team members tried to talk about a certain development aspect, but the audio was censored.

To that, Nomura said, “You can’t say that right now.”

“The motion is still in progress, we’re working on the one that make a -censored-. I can’t say the name! [laughs]"

“There is one world that is distinct from the others.”

"There are still more unrevealed worlds.”

Despite getting closer to the finishing like, the producers will place additional orders like: "Oh, I want to do this, I want to do something like that, too," so Kingdom Hearts III is still in full development. They are particularly adding things to its second half.

A scene was shown where the team, including Yasue, was heard engaging in a back-and-forth of comments such as :"We said that before!" "Don't listen!"

Yasue said, "This Kingdom Hearts is a bit different. One world is equivalent to one [previous] game, and the things to do for each world are vastly different. My favorite world has not yet been announced so please look forward to it too."

Regarding the final stage worlds of Kingdom Hearts III, Nomura said, "For a long time [from back when I worked on Final Fantasy] I thought, ‘I want to try this.’ Now, because I get to do it, I'm enjoying figuring out where how far it will go and how it will move," in relation to a project that has been in the works for many years. "I experiment a lot."

In the video, because there is mutual trust between the team members, a true exchange could be seen. After the video ended, Nomura stated, “There was no feeling of tension at this place. Even while the staff enjoyed themselves, they engaged in their work with effort. In addition, in Kingdom Hearts III, there are sections not on the list from what I showed in the making-of video, but they are heading towards completion."