Building the foundation for digital infrastructure excellence in Japan

Japan is poised to become a global leader in artificial intelligence, driven by government initiatives promoting digitization, business-friendly AI legislation, and substantial subsidies. These efforts aim to establish Japan as a self-sufficient AI powerhouse. As Japan assumes a more prominent role in the Asia-Pacific region, amidst ongoing US-China tensions, all major hyperscalers have recently announced enormous investments in the country. This session will explore the intertwined factors driving the surge in demand for digital infrastructure and how these trends are reshaping the landscape. Attendees will gain insights from leaders at the hyperscalers and major end users, who will share their perspectives on the future and Japan's critical role within it. Join us for an insightful discussion on the transformative impact of cloud and AI data centers in Japan.

Japan's data center landscape is undergoing unprecedented expansion, marked by larger deals and the entry of new operators. Both existing incumbents and new entrants are announcing plans to expand capacity in response to growing demand. As hyperscalers navigate the increasing demand for cloud and AI data centers, alongside local player requirements, the debate between self-building and leasing remains open. Of particular interest is the expansion into new areas, driven by the realization that existing data center clusters may not be able to accommodate all the required capacity. This expansion includes new areas within Tokyo and Osaka, as well as the emergence of completely new data center hubs such as Kyushu, Hokkaido, and Hiroshima. This session will provide insights into the Japanese data center market from the perspective of both Japanese and international major operators. Attendees will gain valuable insights into how these operators view Japan and their strategies for meeting the surge in demand. Join us for a deep dive into the strategies and perspectives of the key players shaping Japan's data center infrastructure landscape.

As the data center industry experiences unprecedented growth, this session will explore how backbone infrastructure, particularly telecom networks and power grids, are preparing to support this expansion. Japan's power grid is renowned for its stability, yet the country faces substantial power constraints, often due to lengthy transmission connection timelines that can extend up to 10 years. This challenge is compounded by other major high-power-consuming infrastructure projects, such as the Chuo Shinkansen Maglev Line. On the telecom side, Japan's leading providers have been consistently developing new technologies to enhance connectivity within and between data center hubs. Their goal is to reduce latency, increase capacity, and support the government's Digital Garden Nation initiative. This session will convene leaders from major telecom providers and utilities in Japan to discuss their vision for backbone infrastructure in Japan and their plans for realizing the Digital Garden Nation vision. Join us for an insightful discussion on the future of Japan's backbone infrastructure in the digital era.

Japan has witnessed an unprecedented surge in joint ventures within the data center space, aiming to leverage global capital, the unique strengths of major Japanese corporations and trading firms, and the operational capabilities of global data center firms. These partnerships are particularly crucial in Japan, where local transactional expertise is highly valued, and global incumbents often struggle to establish a foothold independently. This session will delve into the opportunities and challenges presented by joint venture structures in Japan's data center industry. It will explore key learnings from successful collaborations and offer predictions for the future of joint ventures in the sector. Participants will hear from leaders of major joint ventures established in Japan, gaining valuable insights into the dynamics of these strategic partnerships. Join us for a comprehensive discussion on the evolving landscape of joint ventures in Japan's data center industry.

Japan is experiencing a significant influx of foreign investment, driven by a weak yen, strengthening fundamentals, business-friendly initiatives, and its crucial geopolitical role in the Asia-Pacific region. Simultaneously, major local players are intensifying their focus on Japan, seeking growth opportunities in the domestic market. Despite the global trend of rising interest rates, Japan continues to maintain a low-interest-rate policy. Japanese banks are still familiarizing themselves with the data center space, adapting their lending structures to accommodate the evolving nature of data center contracting and development processes. This session will bring together leaders from major Japanese and global financial institutions, including lenders and investors, to discuss their investment outlook for the data center space in Japan. Participants will gain insights into strategies for navigating the evolving landscape of data center investments in Japan. Join us for a comprehensive discussion on the investment trends shaping Japan's data center market.

Japan's data center industry is at a pivotal moment, with regulatory developments playing a crucial role in its growth trajectory. This session will explore the evolving policy landscape in Japan and its impact on the data center sector. Expansion of digital infrastructure capabilities have been top priorities for the current administration, leading to various subsidy programs and the flagship Digital Garden Nation initiative. The effort to realize Japan's vision for a connected and digital future is being led at various levels. At the national level, ministries such as METI (Ministry of Economy, Trade, and Industry) and MIC (Ministry of Internal Affairs and Communications) are spearheading initiatives. At the regional level, major prefectures such as Kansai, Tokyo, Fukuoka, and Hokkaido are actively involved. Even at the municipal level, there is direct interest from mayors and their teams to attract data center investment to their cities. This session will bring government and policy leaders to describe their strategy and vision for supporting the advancement of the data center industry in Japan. Participants will gain valuable insights into government policies and programs that are shaping the future of data centers in Japan. Join us for a comprehensive discussion on the role of government in driving digitalization and data center expansion in Japan.

The data center construction industry in Japan is facing significant challenges, with key issues impacting timelines and costs. Supply chain disruptions have become a major bottleneck, delaying construction projects. Additionally, the falling yen has substantially increased the local price of imports, adding to the financial strain. Compounding these challenges are competing major projects that are consuming construction resources, such as the development of fab plants in Kyushu and Hokkaido, and other major developments across Japan. This strain on subcontractors, coupled with increasing costs and challenging supply chains, has led to longer timelines to secure a general contractor, with many local players citing it as their most pressing issue. This session will convene leaders from major construction firms and architectural firms to discuss these challenges and share their views on the current state of the industry and their outlook for the future. Join us for a candid discussion on navigating the complexities of the data center construction landscape in Japan.