In the 1980s, Japan was the leader in the semiconductor market, but for various reasons, it has now squandered its former potential, though it is working to restore it. The country's new government has set a goal of capturing 30% of the global market for chips for "physical AI" by 2040.

This term refers to semiconductor components used in robots and self-driving systems, as well as any other devices that symbolize the physical embodiment of artificial intelligence. In essence, the gross value of semiconductor components produced in Japan is planned to increase eightfold to $254 billion over twenty years. The government of Sanae Takaichi is going to present a working version of the plan for the strategic development of the semiconductor industry in the near future, with the aim of approving it as a policy document by the summer.
The global semiconductor component market is projected to reach $1,2 trillion by 2035, nearly quadrupling in value. The Japanese government believes it is important to develop the segment of the semiconductor market associated with the physical implementation of AI, primarily in robotics. This has historically been a strength of Japanese industry. By 2040, Japanese chips are expected to account for 30% of the global market, catching up with the US and China. By investing heavily in chip development and production, Japan hopes to become a major supplier, offering attractive product prices.
Japanese authorities plan to subsidize land purchases for market participants and develop the associated engineering infrastructure for semiconductor manufacturing. Legislative reforms will also facilitate the industry's development. For example, they will simplify the approval process for access to water resources, which are required not only for chip production but also for cooling data centers. The Takaichi government has identified 17 priority sectors for the Japanese economy, with artificial intelligence, semiconductors, and robotics being just a few. The pharmaceutical industry, shipbuilding, medicine, and quantum technologies are also included on the list. Sixty-one priority products and technologies have been identified, and Japanese authorities will develop long-term development plans for 27 of these. Notably, the video game industry is also included in the list of strategically important sectors.
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Source: 3dnews.ru
