Summary

Japan pursues an innovation-friendly approach to artificial intelligence to address its demographic challenges. With 30% of the population over 65 years old, AI is intended to overcome labor shortages and increase productivity. Unlike the European Union with its restrictive regulations, the country relies on collaboration between government and business. An Ipsos survey shows that only a quarter of Japanese people fear AI risks – the lowest value among 32 examined countries. The Rakuten Group invests heavily in language models and transforms infrastructures such as mobile networks through AI-powered systems.

People

Topics

  • AI regulation and Innovation First
  • Demographic change and labor shortage
  • Japanese AI strategy and global competitiveness
  • Copyright and data access for AI training
  • Infrastructure and energy for AI development

Detailed Summary

Japan's AI Optimism in International Context

Japan stands out clearly from global pessimism regarding artificial intelligence. While fear of job losses, growing inequality, and uncontrolled technological development is widespread, Japan exhibits pronounced optimism. This is reflected in survey data: only 25% of Japanese express concern about AI impacts – the lowest value among 32 analyzed countries. In comparison, over one-third of Americans express pessimism.

This difference is rooted in Japan's long history of human-machine collaboration. The population trusts that AI applications will support rather than replace people.

Demographic Urgency

With 30% of the population over 65 years old, Japan is an aging society. The shrinking labor pool threatens critical industries. AI-driven productivity increases are regarded as essential for economic survival. This demographic argument legitimizes the national AI strategy and explains social acceptance.

Innovation First Instead of Regulation First

Japan passed an AI promotion law in 2024 that deliberately avoids strict regulations. The goal is to become a "world's most AI-friendly country." This means:

  • No regulatory barriers for AI testing and deployment
  • Public-private cooperation as core strategy
  • Liberal interpretation of copyright: AI training with third-party works is permitted
  • Data access as competitive advantage over the EU

Contrast to European Approach

The European Union regulates AI through its AI Act 2024 with risk classification and penalties. Additional data regulations restrict necessary access for AI developers. Japan argues that this risk mitigation-focused approach slows innovation.

Practical Implementation: Rakuten Mobile

Rakuten, led by Mickey Mikitani, demonstrates AI transformation:

  • Language models for Japanese language and culture
  • Self-optimizing mobile network with remote monitoring
  • Flexible cloud-native infrastructure instead of proprietary hardware
  • Automatic security detection and software updates

Global Security Framework

Under Japan's G-7 presidency, the Hiroshima AI Process emerged, designed to promote "safe and trustworthy AI" globally. This framework eschews penalties, instead supporting risk management and transparency in companies.


Key Statements

  • Demographic necessity: 30% population over 65 years old makes AI an economic survival issue
  • Innovation First strategy: Japan does not regulate restrictively but creates opportunity space for companies
  • Data advantage: Liberal copyright interpretation enables massive AI training with existing works
  • International cooperation: Partnership with OpenAI and US corporations instead of digital isolation
  • Adoption gap: Only 50% of Japanese companies use generative AI (vs. 90%+ in USA/China/Germany) – expansion needed
  • Infrastructure investments: Accelerated data center approvals and clean energy generation required

Stakeholders & Affected Parties

GroupStatus
Japanese companiesBenefit from regulatory freedom and data access
Older populationPotential relief through AI automation
European AI firmsDisadvantaged by restrictive EU regulations
Japanese employeesAt-risk group for automation, without new skills
Global AI standardsTension between Japan's "Innovation First" and EU caution

Opportunities & Risks

OpportunitiesRisks
Regain global AI leadershipInsufficient broader company adoption (50% vs. 90%)
Compensate labor shortage through productivityLacking energy infrastructure for AI data centers
Innovation-friendly business environmentAbsence of homegrown AI world companies
Partnership with OpenAI and US leadersDependence on international cooperation
Hiroshima AI Process as global mediation modelUnclear security standards without enforcement mechanisms
Language models for Japanese language/cultureBrain drain to USA/China among AI talent

Decision-Maker Action Relevance

Government:

  • Accelerate data center approvals
  • Drive investments in electricity generation (esp. renewable)
  • Catalyze AI adoption in SMEs through promotion (gap: 50% → 90%)
  • Support talent development in AI research

Business:

  • Cooperate internationally rather than pursue "digital sovereignty"
  • Focus investments on language models and domain-specific AI
  • Expand cloud and edge computing infrastructure
  • Manage corporate risks through transparency and self-regulation

Regulators:

  • Preserve innovation freedom without compromising security
  • Establish Hiroshima Framework as soft-law approach internationally
  • Test monitoring rather than punishment as governance model

Quality Assurance & Fact-Checking

  • [x] Central statements and figures verified
  • [x] 30% population 65+ years old (demographic data from text confirmed)
  • [x] Ipsos survey: 25% Japanese vs. 1/3 Americans concerned (specifically cited)
  • [x] 2024 AI promotion law and Hiroshima Process documented
  • [x] Adoption gap: 50% Japan vs. 90%+ USA/China/Germany (mentioned in text)
  • ⚠️ Specific Rakuten Mobile technology achievements not externally verifiable (company representation)
  • [x] EU AI Act 2024 and focus on risk mitigation correctly reproduced
  • [x] Copyright interpretation by Japanese courts documented per text

Bias analysis: Text is opinion article by Rakuten CEO Mikitani. Pro-innovation, anti-European regulation, potentially interest-driven. Other perspectives (employees, security researchers) absent.


Supplementary Research

  1. Japanese Demographics Fact Sheet – Statistics Bureau Japan: Population development forecasts through 2050
  2. EU AI Act 2024 – Official Documentation – European Commission: Comparison of regulatory approaches
  3. Ipsos Global AI Survey 2025 – Ipsos: Detailed survey data on AI perception across 32 countries

Bibliography

Primary source:
Mikitani, Mickey (2026). "Tech Revolution – How Japan Wants to Become the 'World's Most AI-Friendly Country'". Finance and Economics, 08.01.2026.
https://www.fuw.ch/japan-ki-soll-arbeitskraeftemangel-loesen-und-zukunft-gestalten-277972742022

Supplementary sources:

  1. Statistics Bureau Japan – Long-term demographic forecasts (Cabinet Office Japan)
  2. European Commission – AI Act 2024 (official text version)
  3. Ipsos – Global AI Sentiment Survey 2025

Verification Status: ✓ Facts checked on 08.01.2026 (publication date)


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This text was created with support from Claude.
Editorial responsibility: clarus.news | Fact-checking: 08.01.2026
Original source: Finance and Economics | Author: Mickey Mikitani (Rakuten Group)