Key Highlights
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- Sakura Internet shares climbed 20.27% following Microsoft’s announcement of a $10 billion AI commitment in Japan
- The tech giant will deploy 1.6 trillion yen from 2026 through 2029 for AI infrastructure and cybersecurity initiatives
- Partnership with Sakura Internet and SoftBank will deliver Japan-based AI computing capabilities, including GPU resources
- Training program targets 1 million Japanese engineers and developers by the end of the decade
- SoftBank Group shares increased 0.22% while SoftBank Corp. advanced 1.02% following the announcement
Sakura Internet experienced a dramatic 20.27% surge on Friday after Microsoft revealed an extensive AI investment strategy for Japan, identifying the cloud services provider as a strategic partner along with SoftBank.
The Redmond-based technology company plans to deploy 1.6 trillion yen — approximately $10 billion — across Japan from 2026 to 2029. This capital allocation will fund AI infrastructure development, cybersecurity collaboration, and an ambitious initiative to educate 1 million engineers and developers before 2030.
Microsoft Vice Chair and President Brad Smith delivered the announcement during his Tokyo visit, meeting directly with Prime Minister Sanae Takaichi.
Sakura Internet operates data center facilities throughout Japan and will collaborate with SoftBank to deliver AI computing infrastructure under the new arrangement. The partnership includes graphics processing units positioned inside Japanese territory.
This infrastructure design allows corporations and government entities to handle sensitive information domestically while maintaining access to Microsoft Azure platform services.
Additionally, SoftBank and Microsoft Japan are exploring a collaborative offering that would enable Azure users to connect directly with SoftBank’s AI computing infrastructure.
SoftBank Group finished trading up 0.22% on Friday, with SoftBank Corp. posting a 1.02% gain.
Japan’s AI Adoption Drives Investment Decision
Microsoft highlighted robust AI adoption rates in Japan as a key factor behind the investment. Approximately 20% of Japan’s working-age population currently utilizes generative AI technologies, based on data from Microsoft’s AI Diffusion Report. The global average stands at roughly 17%.
Smith emphasized that cloud and AI service demand continues expanding across Japan, and the investment supports Prime Minister Takaichi’s objectives to leverage advanced technology for economic development and national security enhancement.
Extended Collaboration Ecosystem
Microsoft’s partnership extends beyond Sakura and SoftBank to include five additional prominent Japanese technology firms in achieving its goal of training 1 million AI professionals by 2030. The collaboration includes NTT Data Corp., NEC, Fujitsu, and Hitachi.
The alliance will also advance the creation of domestic large language models within Japan.
Microsoft’s cybersecurity collaboration with Japanese authorities encompasses intelligence sharing on cyber threats and support for crime prevention efforts.
Sakura Internet shares closed at 2,967.00 JPY, representing a 500.00 JPY increase for the trading session.
