Microsoft Corporation (MSFT.US) splashes billions of dollars to deeply cultivate the Japanese AI landscape, joining hands with SoftBank and other companies to build a local computing power ecosystem.

Microsoft Corporation (MSFT.US) announced that it has begun discussions with Japanese cloud service company Sakura Internet and SoftBank to develop artificial intelligence infrastructure in Japan. Microsoft Corporation stated that it plans to invest $10 billion in Japan between 2026 and 2029, for the construction of AI infrastructure, strengthening cybersecurity, and training 1 million engineers and developers by 2030. Sakura Internet (which provides internet infrastructure services using domestic data centers in Japan) and the Japanese telecommunications giant SoftBank will collaborate with Microsoft Corporation to provide AI computing resources, including GPUs deployed in Japan. This news was announced during Microsoft Corporation Vice President and President Brad Smith's visit to Japan, where he met with Japanese Prime Minister Kishida Fumio. Smith stated that this investment comes at a time when Japan's demand for cloud services and AI services is growing. According to Microsoft Corporation's "AI Diffusion Report," approximately one in five eligible workers in Japan uses generative AI tools, compared to a global average of one in six. In a statement, Microsoft Corporation mentioned that this partnership will allow data to be processed domestically in Japan and support the development of advanced AI systems, such as indigenous large language models. SoftBank and Microsoft Corporation in Japan are also discussing a joint solution that will allow Microsoft Corporation Azure customers to use SoftBank's AI computing platform. Furthermore, Microsoft Corporation will collaborate with five other major IT companies in Japan, including NTT Data, NEC, Fujitsu, and Hitachi, to aim to train 1 million AI professionals by 2030.