To put it simply, Kobe beef is a variety of Wagyu. All Kobe beef is Wagyu, but all Wagyu is not Kobe. Some people say that comparing Kobe and Wagyu is the same as comparing Sparkling Wine and Champagne. Essentially, they are the same, but to be Champagne, it has to be made from local grapes and in a specific region in France known as Champagne.