Despite Innovation Need, Japanese Firms Trail in AI Adoption

Published Date: 19/07/2024

A recent survey reveals that over 40% of Japanese companies have no plans to adopt AI, despite its potential to address labor shortages and accelerate research and development.

A recent survey by Nikkei Research has highlighted a significant divide in AI adoption among Japanese businesses. While nearly a quarter of companies have already integrated AI into their operations, a substantial portion – over 40% – have yet to make any immediate plans to leverage this cutting-edge technology.

The survey, which anonymously polled 506 companies, provides a broad view of how corporate Japan is striking a balance between incorporating AI and tightening cybersecurity amid changing social attitudes toward work.

For companies venturing into AI territory, the motivations are clear and multifaceted. The need to address labor shortages, reduce labor costs, and accelerate research and development efforts are just a few of the reasons driving AI adoption.

However, the path to AI integration is not without its obstacles. Companies reported several hurdles in their AI adoption journey, including anxiety among employees, a lack of technological expertise, and substantial capital expenditure.

The survey also shed light on the cybersecurity landscape facing Japanese businesses. A concerning 15% of respondents reported experiencing cyberattacks over the past year, with an additional 9% indicating that their business partners had fallen victim to such attacks during the same period.

In response to these digital threats, Japanese companies are taking varied approaches to enhance their cybersecurity. Nearly half of the surveyed firms are outsourcing their defense measures, while 38% have opted to develop in-house expertise.

The survey also explored corporate attitudes towards social change, specifically regarding Japan's marriage laws. Half of the surveyed firms expressed support for changing the law that currently requires married couples to share the same surname.

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FAQS:

Q: What percentage of Japanese companies have already adopted AI?

A: 24%

Q: What is the main motivation for companies to adopt AI?

A: Addressing labor shortages

Q: What is the biggest obstacle to AI adoption?

A: Anxiety among employees

Q: What percentage of companies have experienced cyberattacks in the past year?

A: 15%

Q: What is the proposed change to Japan's marriage laws?

A: Allowing married couples to retain their original surnames

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