TLDR: Japan has commenced discussions on its AI Basic Plan, a crucial initiative under the new AI Act, aimed at transforming the nation into a global leader in AI development and utilization. The plan seeks to address Japan’s current lag in AI investment and adoption by promoting innovation, strengthening development capabilities, and establishing robust governance frameworks, with a target to finalize the strategy by the end of 2025.
Japan has officially initiated discussions on its Artificial Intelligence Basic Plan, operating within the framework of a newly introduced AI Act. The first meeting of the AI Strategy Headquarters, led by Prime Minister Shigeru Ishiba and comprising all Cabinet ministers, took place on Friday, September 12, 2025, at the Prime Minister’s Office. This headquarters, established on September 1, 2025, following the enactment of the new AI law in May, is tasked with formulating the comprehensive basic plan and developing guidelines for appropriate AI use in alignment with international standards.
The government aims to finalize this pivotal basic plan by the end of 2025, or by winter, as reported. The urgency stems from Japan’s acknowledged lag in AI investment and adoption compared to other leading nations. According to Stanford University’s 2025 AI Index Report, Japan’s private AI investment in 2024 amounted to a mere $0.93 billion, significantly trailing the United States ($109.08 billion), China ($9.29 billion), and the United Kingdom ($4.52 billion). Furthermore, a 2024 survey by the Ministry of Internal Affairs and Communications revealed that only 9% of individuals and 47% of companies in Japan were utilizing generative AI, highlighting the pressing need for a national strategy.
Prime Minister Shigeru Ishiba emphasized the critical importance of AI, stating, ‘AI is very crucial in terms of security. As the global development race intensifies, we need to implement support measures promptly.’
The draft outline of the basic plan acknowledges that AI use has not been fully promoted in Japan, and AI-related investment remains minimal relative to the country’s economic scale.
A core tenet of the plan is to uphold principles for a human-centric AI society, fostering continuous collaboration between humans and AI while carefully balancing the promotion of innovation with the management of associated risks. The outline sets forth four fundamental policies to achieve this vision: accelerating the promotion of AI use, strategically strengthening AI development capabilities, taking a leading role in related governance, and pursuing continuous transformation toward an AI society.
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The AI Law, enacted in May 2025, grants the government authority to investigate AI developers in cases of serious infringements on citizens’ rights. However, it currently lacks strict penalties for noncompliance. This foundational legislation is designed to accelerate domestic AI innovation while simultaneously addressing emerging societal and ethical risks, reflecting a growing governmental concern over Japan’s position in the global AI landscape.
