Japanese businesses divided on AI implementation

A recent survey conducted by Nikkei Research for Reuters shows a significant divide among Japanese companies regarding AI adoption. Of the 250 firms that responded, 24% have integrated AI into their operations, while 35% plan to do so. However, 41% have no plans to implement the technology, highlighting varying levels of enthusiasm for AI across corporate Japan. Key motivations for adopting AI include addressing workforce shortages, reducing labour costs, and accelerating research and development.

Despite Japan’s initially laid back approach to AI regulation, several obstacles hinder AI adoption, including employee anxiety over potential job losses, lack of technological expertise, high capital expenditure, and concerns about AI’s reliability. Cybersecurity also emerged as a critical issue, with 15% of respondents experiencing cyberattacks in the past year and 9% reporting attacks on their business partners. To enhance cybersecurity, 47% of firms outsource their defence, while 38% rely on in-house specialists.

The survey also touched on the controversial topic of Japan’s surname law, which mandates that spouses use the same surname. Half of the respondents support changing the law, a move prompted by the Keidanren business lobby’s recent appeal to the government. Supporters argue that the current system undermines individual dignity and freedom, particularly for women, while opponents believe separate surnames could weaken family bonds. Only 14% of firms believe the change would boost employee morale, and 10% think it would aid hiring efforts, with the majority expecting no significant impact on business.