Tech giant Microsoft plans to invest $2.9 billion in data centers in Japan by 2025 to strengthen its artificial intelligence, or AI, business, the Nikkei Shimbun reported, citing an interview with company president Brad Smith.
The company plans to announce its investment plan in conjunction with Prime Minister Fumio Kishida’s visit to the United States.
Microsoft, a major investor in OpenAI, which develops the highly popular generative AI chatbot “ChatGPT,” will install advanced AI semiconductors at two existing locations in eastern and western Japan.
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The company also plans to announce an AI-related retraining program in the country to train 3 million workers over three years.
The company is also planning joint research with universities on automation technology.
The company plans to establish a new research institute in Tokyo for robotics and AI research and development.
Microsoft Research Asia will provide 1.5 billion yen, or $9.9 million, to both the University of Tokyo and the Keio University-Carnegie Mellon University partnership to establish a new lab and fund research projects over the next five years. It’s a schedule.
Smith said in an interview that deploying AI and investing in domestic capabilities has become a key national priority for governments around the world. According to him, AI is essential to sustaining productivity gains, even in countries with declining populations.
Smith also said the company will also partner with the Japanese government to strengthen cybersecurity resiliency.
“The cybersecurity threat landscape is becoming more challenging,” Smith said. “We’re seeing damage from China and especially Russia, but we’re also seeing an increase in ransomware activity around the world. ” He noted that close partnerships between major technology companies and governments are one of the keys to securing cyberspace.
The news comes as Japan, which restricts the transfer of personal data to overseas data centers, launches new measures to further increase domestic AI computing capacity. Amazon Web Services (AWS) and Google have announced major investments in data centers in Japan.
