Top 20 Japanese Companies for AI Startups to Watch for Market Entry in 2024
By Mike Kim, Founder of Gradient Consulting
In a Forbes article titled “The Top 10 Tech Trends In 2023 Everyone Must Be Ready For”, the author Bernard Marr predicted in November 2022 that “artificial intelligence will become real in organizations” and declared it to be the #1 tech trend to watch for in 2023. The call was correct in a major way. The global impact of AI in 2023, led by emergent technologies like ChatGPT, made AI ubiquitous.
The increasing tide of interest in AI was acutely felt in Japan. Google Trends shows almost a 100 fold increase in Japan for searches in the “Generative artificial intelligence” category in 2023.
For U.S.-based AI startups considering market entry in Japan, these developments create exciting opportunities. As we look ahead to 2024, I’m sharing my Top 20 Japanese companies (by sales revenue) for US-based AI companies to watch closely. This is a great starting point if you're a US-based AI startup and Japan is on your sales roadmap. Most companies included on this list are forward leaning, open to working with US startups, likely have budget to allocate, and many of these companies have teams that are able to work in English (without need for English-Japanese translators).
I’ve personally conducted hundreds of meetings with companies on this list and has successfully led or facilitated business deals with about half of the Top 20.
Top 20 Japanese Companies for U.S. AI Startups to Watch for Japan Market Entry in 2024
Toyota
Mitsubishi Corporation
Honda
Mitsui & Co.
ITOCHU Corporation
NTT
Seven & I Holdings
Hitachi
Marubeni
Aeon
Panasonic
Sumitomo Corporation
Softbank Group
Mitsubishi Heavy Industries
Bridgestone
Canon
Fujitsu
Komatsu
NTT Data
NEC
A Japanese tech leader once estimated that Japan is about 10 years behind the U.S. in terms of AI development (this number will vary depending on who you talk to and when that conversation took place). This gap could be seen as an arbitrage opportunity for American forerunners in AI to bring their technology and innovation to Japanese companies hungry to catch up.
Japan's urgent need for AI solutions, driven by challenges like a declining population, labor shortages, and the need for innovative business models, creates a significant demand for AI-driven advancements.
How to Successfully Enter the Japan Market
If you're serious about building a long-term presence and scaling your business in Japan, check out this guide on what it takes to go from zero to $1M in ARR:
👉 How to Scale a Startup to $1M+ ARR
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