Three consecutive generations of the oval squid, Sepioteuthis lessoniana, were cultured between October 2000 and May 2002 to investigate the life history of this species. Starting with the parental generation (wild-caught sub-adult squid from Tokushima Prefecture, Japan), we successfully obtained first and second generations. Life span and maturation of cultured oval squid and wild oval squid caught from the same habitat during April 2001 through to March 2002 were compared. Captive squid matured earlier and had a shorter life span (189–247 days) than the wild-caught squid (approximately one year) but reached an equivalent final body size. More ova were found in the oviducts of cultured females than in the oviducts of wild-caught females. Ultimately, collapse of the culture population was mainly due to the low rate of embryonic development of spawned ova, which might have resulted from the abnormal arrangement of ova in egg cases produced by later generations of females.