After graduating from the 18th class of Naval War College in 1918 and his promotion to lieutenant commander in 1920, he served as a staff officer on the Imperial Japanese Navy General Staff, and also on the martial law headquarters for the Kantō region after the Great Kanto earthquake of 1923.

After his promotion to vice admiral on 15 November 1939, he was assigned as Commander in Chief of the Ryojun Guard District.

Seeking to protect his ships, he abruptly broke off the action and retreated from battle even though he had severely damaged McMorris's flagship, the heavy cruiser USS Salt Lake City.

Hosogaya's retreat from an inferior American force was viewed as evidence of cowardice and cost him his command; he was relieved by Shiro Kawase.

[3] For the rest of the war, Hosogaya was based in Truk, serving as the Governor of the South Seas Mandate.