Japan forms AI consortium

SoftBank, NEC, Sony and Honda have set up a new company to build Japanese artificial intelligence for domestic use. (jen.jiji.com) The venture will develop a high-performance foundation model, the base system that companies can adapt for their own products and services. SoftBank and NEC are expected to lead the core model work, while Sony and Honda focus on applications. (asahi.com) Around 100 engineers from SoftBank and Preferred Networks are expected to staff the company, according to earlier reporting on the plan. Each of the four core companies holds a stake of more than 10%, and additional investors are in talks to join as minority shareholders. (japannews.yomiuri.co.jp, techinasia.com) The immediate target is a model with about 1 trillion parameters, a rough measure of size and complexity in an artificial intelligence system. The company plans to offer that model to Japanese businesses first, then expand into uses such as robot control and factory equipment. (japannews.yomiuri.co.jp, jen.jiji.com) Japan’s government has been preparing large subsidies for domestic artificial intelligence as officials argue the country trails United States and Chinese firms in the field. The Yomiuri Shimbun reported in December that the Ministry of Economy, Trade and Industry planned about ¥1 trillion in support over five years starting in fiscal 2026. (japannews.yomiuri.co.jp) That public push sits alongside much larger private spending on computing capacity. SoftBank plans to invest ¥2 trillion over six years in data centers for artificial intelligence development and services, according to the same report. (japannews.yomiuri.co.jp) The project is also drawing in banks and industrial groups beyond the four headline companies. Asahi reported that MUFG Bank, Sumitomo Mitsui Banking Corp., Mizuho Bank, Nippon Steel and Kobe Steel are investors in the new company. (asahi.com) The pitch is not only chatbots for office work. Jiji said the longer-term plan is to use the model in robots, which fits Honda’s manufacturing footprint and Sony’s robotics and electronics businesses. (jen.jiji.com) Japan has tried consortium-style technology catch-up efforts before, with mixed results, and this one now has to secure chips, data centers and customers quickly. For now, the new company gives Japan’s biggest industrial groups a single vehicle for building and deploying homegrown artificial intelligence. (scmp.com, jen.jiji.com)