Japan aims for 10 million AI‑powered robots by 2040 and a sovereign AI model

The Japanese government announced a plan to deploy about 10 million AI‑equipped robots across 18 sectors, including manufacturing, healthcare, food service and logistics, by 2040. The strategy is part of a broader push for "physical AI," where artificial intelligence is embedded in real‑world devices such as factory robots, autonomous vehicles and service androids.

To fund the initiative, the cabinet approved up to ¥1 trillion (≈ US$6 billion) over five years, with an initial ¥387.3 billion subsidy for Noetra, a new consortium led by SoftBank, Sony, NEC, Honda and other firms. Noetra will develop a national AI foundation model and build data‑infrastructure that leverages Japan’s strengths in elderly care, disaster response and nuclear decommissioning. The programme also targets a global market share of over 30 % in AI robots.

The drive reflects concerns over dependence on U.S. and Chinese AI technologies and aims to mitigate Japan’s ageing population and labour shortage. Recent surveys show AI usage among Japanese citizens has risen to just above 50 % in 2026, indicating rapid domestic adoption that the government hopes to channel into productive applications.