In a strategic move to strengthen its foothold in the AI landscape, Nvidia’s CEO Jensen Huang spent two pivotal days in Tokyo, engaging with Japan’s tech and industrial leaders. This visit marks a significant step following his earlier engagements in Taiwan and South Korea, illustrating Nvidia’s commitment to building a robust AI ecosystem in Asia. Huang’s Tokyo visit culminated in groundbreaking collaborations, including a national AI factory, partnerships with leading robotics firms, and agreements with chip-material suppliers, underscoring Japan’s vital role in Nvidia’s AI ambitions.
Three decades ago, a critical investment from Sega helped Nvidia survive financial challenges. Today, a renewed partnership between Nvidia and Japan’s industrial giants is set to usher in the physical-AI era, with three key initiatives leading the charge:
Noetra: Japan’s Sovereign AI Initiative
Japan, determined to maintain control over its AI infrastructure, is spearheading Noetra, a collaborative effort involving 44 domestic firms, including SoftBank, Sony, NEC, and Honda. The government is investing up to 1 trillion yen ($6.2 billion) over five years to develop “physical AI” foundation models for robotics and vehicles. Despite the domestic focus, Nvidia will supply the hardware, building a data center equipped with 13,750 Vera CPUs and 27,500 Rubin GPUs, expected to deliver 140 megawatts by 2028. Noetra’s development will occur in three phases, aiming for a comprehensive AI model by 2030.
Robotics Coalition: Advancing Physical AI
With Nvidia’s focus on Japan’s factory floors, major robotics companies like Fanuc, Yaskawa, and Kawasaki Heavy are joining forces under the Cosmos initiative. In May, Nvidia introduced Cosmos models, and during his Tokyo visit, Huang unveiled Cosmos 3 Edge, optimized for Jetson Thor chips. This move has spurred companies like Honda R&D and Omron to begin developing on these platforms. As Huang stated, “The next frontier of AI is in the physical world, and this is a once-in-a-generation opportunity for Japan.”
Toyota: Integrating AI in Vehicles
Toyota has integrated Nvidia chips across its operations, committing future vehicles to Nvidia’s Drive platform since CES 2025. This partnership extends Nvidia’s influence into Toyota’s manufacturing and vehicle software, including systems for road traffic analysis. Toyota’s approach to AI in vehicles remains cautious, focusing on advanced driver assistance systems that enhance, rather than replace, human drivers.
Japan’s investment in physical AI is central to its industrial strategy, aiming to deploy 10 million AI-equipped robots across various sectors by 2040. This vision is supported by a projected $65 billion investment from public and private sectors. The goal is to capture a significant share of the global AI robotics market, valued at ¥20 trillion by 2040.
Japan’s quest for AI sovereignty is driven by a desire to reduce dependence on foreign technology. At the physical-AI launch, Huang was joined by trade minister Ryosei Akazawa, with Prime Minister Sanae Takaichi emphasizing the importance of AI and semiconductors in Japan’s growth strategy, which targets a ¥370 trillion ($2.3 trillion) investment by 2040. Nvidia’s collaboration with Japan on the world’s first national AI infrastructure underscores this ambition.
Huang’s meetings with key figures in Japan’s tech industry, including CEOs from Toyota, Fanuc, and Fujitsu, highlight the strategic importance of these alliances. This engagement mirrors his successful visits to Taiwan and South Korea, reinforcing Nvidia’s expanding influence in the global AI market.
Original Story at techcrunch.com