AI Development Firm Established to Develop Japanese 1-Trillion-Parameter Models, With Funding from SoftBank, NEC, Honda, Sony

The Yomiuri Shimbun

17:04 JST, April 13, 2026

A new firm that aims to develop home-grown artificial intelligence has been established, funded mainly by four major Japanese companies — SoftBank Corp., NEC Corp., Honda Motor Co. and Sony Group Corp. — it has been learned.

SoftBank and NEC will be responsible for the development of AI platform models, while Honda and Sony will use these models in areas such as automobiles, robots, video games and semiconductors.

By joining forces to develop large-scale domestic AI and establish a framework to use it, these leading Japanese companies hope to catch up with countries currently leading in the field, such as the United States and China.

The new company will be called Nihon AI Kiban Moderu Kaihatsu (Japan AI platform model development). SoftBank, NEC, Honda and Sony will be the largest shareholders, with each holding a stake of 10% or a little more. The new company is expected to hire about 100 AI developers and engineers, and an executive from SoftBank who has been leading domestic AI development was appointed as its president.

Hoping to use AI models to be developed by the new company, Nippon Steel Corp. and Japan’s three megabanks — MUFG Bank, Ltd., Sumitomo Mitsui Banking Corp. and Mizuho Bank Ltd. — will also invest in the company as minority shareholders. Several other companies are currently in negotiations to invest in the company. AI development company Preferred Networks, Inc. is also expected to work with the new company.

The AI models developed by the new company will be made available to Japanese companies, and even non-investors will be allowed to adapt them for their own use. The company will focus on developing 1-trillion-parameter AI models, a benchmark achieved by globally leading AI software. The more parameters a model has, the higher its capabilities are. Ultimately, the company will aim to develop next-generation AI software capable of controlling robots.

A national research and development agency under the jurisdiction of the Economy, Trade and Industry Ministry has been taking applications for support from companies developing domestic AI models and other technologies since late March, and the new company plans to apply shortly. The ministry plans to provide financial assistance totaling ¥1 trillion to selected companies over a five-year period from fiscal year 2026 to 2030.

While the United States and China have taken the lead in the development of AI models that generate text and other content, Japan is considered to have an edge in the development of next-generation “physical AI” capable of controlling robots and other devices. In this project, major Japanese companies will work together to develop large-scale domestic AI to catch up with other countries.