Japan plans $6.1 billion sovereign AI model, 10 million robots by 2040

Japan has unveiled an ambitious plan to build its own artificial intelligence model while aiming to deploy 10 million AI-powered robots across 18 sectors by 2040, as part of a broader push to strengthen domestic AI capabilities and reduce dependence on foreign technologies.The proposed AI model will be developed by Noetra, a consortium that includes SoftBank and Sony. According to media reports, the Japanese government could provide up to 1 trillion yen (about $6.1 billion) over the next five years, with funding tied to the project's progress.Also Read: South Korea unveils $880 billion plan to expand AI and semiconductor industryThe initiative comes as several countries pursue sovereign AI systems to reduce reliance on technology developed in the United States and China.The Nikkei business daily reported that Noetra's investor base is expected to expand to 44 companies, bringing together businesses from the automotive, electronics, manufacturing, finance and logistics industries.A major focus of the project will be physical AI, which enables artificial intelligence to operate in real-world environments rather than through software alone. Such applications include self-driving vehicles, industrial robots and android assistants. However, large-scale deployment of AI robots in everyday settings remains limited despite growing investment.Japan also released an updated AI robotics strategy on Tuesday. Industry Minister Ryosei Akazawa said the country aims to deploy around 10 million robots by 2040 while expanding adoption into restaurant, food manufacturing and medical services, taking the total number of target sectors to 18.Akazawa told reporters that Japan also plans to build data infrastructure for physical AI and robotics by leveraging the country's existing strengths in these fields.The government expects AI-powered robots to help address labour shortages caused by Japan's ageing and declining population.The announcement follows Japan's 14-year growth strategy unveiled last month, which targets 370 trillion yen (about $2.3 trillion) in combined public and private investment across 17 strategic sectors, including physical AI, semiconductors, quantum technology and nuclear fusion.The move also comes as neighbouring South Korea announced record public-private investments worth hundreds of billions of dollars in AI data centres and semiconductor manufacturing over the coming years.