Today, Microsoft Corporation (hereafter referred to as Microsoft) announced the expansion of its cloud infrastructure to boost AI performance and offer even more advanced computing resources to organizations in Japan. This update is part of the $2.9 billion investment announced last April, aiming to enhance Japan’s AI and cloud infrastructure by 2025. This expansion will enable the availability of more advanced computing resources within the country. As part of this expansion, Microsoft will introduce Azure High Performance Computing capacity, including high-performing GPUs from NVIDIA from mid-April 2025. This represents a continued investment in bringing more advanced GPUs, providing advanced computing resources that support large-scale AI processing.
Microsoft chairman and CEO, Satya Nadella, on stage at the Microsoft AI Tour in Japan where he announced expansion of cloud infrastructure in Japan.“AI is driving economic growth and unlocking new opportunities worldwide—including in Japan, where we have operated for nearly five decades,” said Satya Nadella, Chairman and CEO, Microsoft. “We are committed to accelerating Japan’s AI transformation by empowering businesses across industries with the AI platforms and tools they need to innovate, compete, and thrive in this new era.”
The expansion of this infrastructure reflects the rapid adoption of Microsoft’s AI stack by Japanese customers across every industry.
For example, in the manufacturing sector companies like Hitachi, Ltd., Kubota Corporation, Honda Motor Co., Ltd., Mitsubishi Heavy Industries, Ltd. and JFE Steel Corporation are adopting Microsoft AI.
In the financial sector, along with Mitsubishi UFJ Financial Group, Mizuho Financial Group and Sumitomo Mitsui Financial Group, regional banks like Hokuriku Bank Ltd. and Seven Bank, Ltd. as well as insurance companies like Dai-ichi Life Holdings, Inc are utilizing AI.
The food and food service industries include AI utilization by companies such as NH Foods Ltd. and Skylark Holdings Co., Ltd.
In the healthcare industry, Fujifilm Corporation and HITO Hospital are making use of AI technologies.
Additionally, in the IT services industry, companies like NTT DATA Corporation, PKSHA Technology Inc. are advancing their AI capabilities.
Microsoft is partnering with government agencies such as the Ministry of Economy, Trade and Industry, the Ministry of Internal Affairs and Communications, the Digital Agency leverage Azure OpenAI Service to better serve citizen, as well as local governments in Tokyo, Osaka, Minato City, Setagaya City, and Nakano City.
NTT Communications Corporation and Shueisha Inc. are using Security Copilot to address the shortage of security personnel and improve operations. Since 2024, we have built a community with security experts, including Chief Security Officers, to share insights and best practices. By leveraging Microsoft’s global threat intelligence and introducing new technologies, we aim to enhance cybersecurity across Japan for companies, organizations, and the nation as a whole.
We’re also witnessing deployment of AI agents by Japanese businesses that allow them to bend the curve on innovation and improve efficiencies. For instance, Woven by Toyota has developed a multi-AI agent to support compliance with industry-standard safety guidelines for automotive software. Companies like SoftBank Corp. , Daiwa Securities Co. Ltd., and Bell System24 Holdings, Inc. are using AI agents for call center operations. Additionally, West Japan Railway Company and Fujitsu Limited are utilizing specialized agents for various business operations.
Today, more than thousands corporate executives and developers gathered at the Microsoft AI Tour held at Tokyo Big Sight, where they engaged in lively discussions, showcasing best practices and demonstrating the latest AI technologies. Some of the examples introduced during the keynote are as follows:
Japan Airlines Co., Ltd. has introduced Microsoft’s small language model (SLM) Phi-4 into an offline AI tool, JAL-AI Report, reduce the time required for cabin attendants’ reporting to 1/3.
Sumitomo Corporation has implemented Microsoft 365 Copilot company-wide, achieving an annual cost reduction of 1.2 billion yen through operational efficiency and productivity improvements.
Turing Corporation uses Microsoft Azure to streamline the training, development, and operation of AI models, aiming to achieve fully autonomous driving.
The Tokyo Metropolitan Board of Education held a hackathon using Microsoft Copilot and Power Platform for public junior and senior high school students in Tokyo, achieving a 100% project completion rate by the students.
Aisin Corporation has developed a feature using Azure AI that transcribes the unique speech patterns of individuals who are deaf or hard of hearing in near real-time. One user said, “I am delighted that my unique voice as a hearing-impaired person can be accurately transcribed. I feel connected to the world.”
Bringing the Power of AI to More People
Last April, we announced the investments to Japan, focusing on four main pillars: “Enhancing AI and Cloud Infrastructure,” “AI skilling opportunities,” “establishing Japan’s First Research Base,” and “Strengthening Collaboration with the Japanese Government in the Field of Security.”
With initiatives like Japan’s “AI Skills Navigators” launched in January in Japan, we aim to equip 3 million people including individuals, developers, and organizations of all sizes to acquire AI skills by 2027.
Starting today, we are launching a new program called “CyberSmart AI” to support the development of skills in AI and cybersecurity. This program is developed following the previously announced collaboration with the Japanese government in the field of cybersecurity and strongly supports the government’s talent development in “active cyber defense” initiatives. Participants can gain skills and techniques in threat intelligence, threat hunting, and analysis of nation state actors while deepening the knowledge in how attackers use AI, how security teams leverage AI for threat hunting and incident response, AI’s role in enhancing cybersecurity programs. CyberSmart AI will be provided free of charge to government agencies, domestic critical infrastructure operators, public organizations, and companies.
To achieve our ambitious goal, we will strive to deliver the power of AI to more people more quickly by expanding and enhancing existing programs.
- We host AI-driven development training sessions, expanding reference architecture, and conducting workshops for developers and tech companies.
- For promoting AI utilization among small and medium enterprises, we organize seminars and consultation sessions with partner companies to teach the basics and applications of AI at Microsoft Bases across Japan.
- For local governments and public institutions, we offer customized programs for the introduction and use of AI tools in compliance with laws and technical requirements through partnership agreements.
- We are expanding our “Code; without Barriers” initiative in Japan aimed at fostering female AI talent.
- In collaboration with the United Nations University, we will offer a micro degree program, where one can learn the basics of AI in less than ten hours.
- We have launched a new course, “AI Training for Managers by Microsoft x LinkedIn,” offering crucial AI skills for career growth. It’s free until December 2025.
Last November, we established Microsoft Research Asia-Tokyo. The Tokyo lab focuses on research activities centered around embodied AI, well-being & neuroscience, societal AI, and industry innovation. We will further deepen collaboration with domestic academic partners like the University of Tokyo and Keio University accelerating the pace of technological evolution through intercultural and interdisciplinary exchanges. Additionally, we contribute to nurturing the next generation of innovators through personnel programs such as joint research projects, internships, and visiting researcher programs.
Miki Tsusaka, President, Microsoft Japan, said “We are expanding and accelerating our efforts in skilling to ensure that everyone in Japan can harness the power of AI. At Microsoft, we provide robust security technology and solutions necessary for successful AI adoption in the country. In collaboration with our partners, Microsoft Japan is fully committed to supporting the people and organizations of Japan to ‘co-pilot’ their growth and achieve more.”
