5 AI Superpowers Japan Has Over Silicon Valley and Beijing
Loose copyright laws, unlimited NVIDIA imports, nuclear-fueled data centers and two more quiet advantages - Japan’s AI edge is real.
While the U.S. fights lawsuits and China fights censorship, Japan is quietly building the most AI-friendly country on Earth.
Thanks to
of SemiAnalysis and of Interconnects for sparking this insight in their interview with Lex Fridman).
1. Japan’s Copyright Loophole Is a Legal Cheat Code for AI
Japan has the world's most AI-friendly copyright laws. Period.
Their 2018 amendment (Article 30-4) lets developers use any copyrighted content for AI training without asking permission. No lawsuits. No drama.
Compare that to the US, where LLMs must choose to pay for AI Content Licensing Deals or face lawsuits from artists and publishers.
Or China, where strict data controls and censorship limit what AI can learn.
Japanese AI developers can train on almost anything. This freedom turbocharges their innovation.
2. Unlimited Access to NVIDIA’s Crown Jewels
Japan has a free pass to buy all the AI chips it wants.
The US puts Japan in its highest tier of trusted allies for tech exports. This means unlimited access to NVIDIA's powerful A100 and H100 chips that power AI.
In 2024, the Japanese government even subsidized companies to buy 10,000 NVIDIA GPUs (worth ¥20 billion or about $130 million).
NVIDIA's CEO has personally "pledged to prioritize Japan's GPU requirements" in meetings with Japan's prime minister.
Meanwhile, China can't legally buy these advanced chips at all due to US sanctions. This hardware gap is a massive Japanese advantage.
3. Nuclear Energy = Always-On AI Data Centers
AI needs tons of electricity. Japan has a stable, clean source.
After the 2011 Fukushima disaster, you might be surprised to learn Japan is restarting its nuclear reactors. Many are already back online.
This gives Japan reliable, carbon-free power for energy-hungry AI data centers. Companies are noticing.
One NVIDIA-backed firm (Ubitus) specifically built its AI data center near nuclear plants to ensure steady power supply.
Chinese AI companies struggle with power shortages and regional blackouts. Even the US faces energy grid uncertainties.
Japan's nuclear strategy provides the 24/7 reliable power that advanced AI requires.
“Japan has a law which you’re allowed to train on any training data and copyrights don’t apply if you want to train a model…Japan has 9 gigawatts of curtailed nuclear power…Japan is allowed under the AI diffusion rule to import as many GPUs as they’d like.”
-Dylan Patel, SemiAnalysis
4. Robotics Is Japan’s Hidden AI Trojan Horse
Japan dominates global robotics. Now they're adding AI brains to that robot muscle.
Japanese companies make about 45% of all industrial robots worldwide. Brands like Fanuc, Yaskawa, and Kawasaki are legends in automation.
"This deep integration of AI in manufacturing plays to Japan's strengths and helps its industries remain globally competitive," notes the World Economic Forum.
Japan is uniquely positioned to create the next generation of AI-powered industrial systems. Their decades of robotics expertise gives them a massive head start.
5. Human-Centric Ethics That Build Public Trust
Japan approaches AI differently than both the US and China.
Their national "Society 5.0" vision emphasizes AI that works with humans, not replaces them. It's built into their cultural DNA.
For example, NEC's AI systems capture expert craftsmen's knowledge to help workers, rather than simply automating jobs away.
Unlike China's surveillance-heavy approach or America's "move fast and break things" tech culture, Japan focuses on trustworthy, respectful AI.
This ethical approach isn't just nice - it's becoming a market advantage as more countries demand responsible AI.
Final Takeaways
For Content/Media Execs
Japan's copyright exception is the most aggressive content bypass in the world. While you negotiate multi-million dollar licensing deals with OpenAI and Google in the West, your content is being freely used for AI training in Japan with zero compensation required. This legal framework could spread globally. You need a Japan plan for our IP assets, now.
For AI Execs
Japan offers the perfect AI training haven. Legal training on any data + 9 gigawatts of curtailed nuclear power + unlimited GPU imports = unprecedented opportunity. Build data centers in Japan, rent them to labs, train models with zero legal risk. Your competitors are already exploring this loophole. Your AI strategy without a Japan component isn't competitive in 2025.
One Japan/AI guy you should keep an eye on is Masayoshi Son. “Masa” as he’s known is the Japanese founder of the wildy successful Softbank (an investor in OpenAI).
Thanks for reading!
Rob Kelly
Creator & Host of Media & the Machine
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