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Wed, 12 Aug 2026

Wed, 12 Aug 2026 Why Japanese firms are being so slow to use AI

Japanese risk aversion and conservatism blamed for slow AI take-up by the country's business sector.

* Only 8.4% of Japanese workers use AI as part of their job, according to a report by the Organisation for Economic Co-operation and Development (OECD).
* The US has an AI adoption rate of 50%, while the UK's is at 32%.
* Singapore has the second-highest take-up of AI after the UAE, with 56% of workers using it "multiple times a week".
* Japanese companies are conservative and risk-averse, which slows down their adoption of AI.
* Many Japanese firms prioritize avoiding errors over improving productivity with AI.
* Japan's healthcare sector is particularly slow to adopt AI, with some hospitals still using paper documents.
* The government has passed the AI Promotion Act to encourage businesses to invest in AI.
* Despite this, many companies only use AI to a limited extent, and critics argue that there aren't enough tech-savvy people in the workforce.
* Japan faces a shortfall of almost 800,000 IT professionals by 2030.
* Many companies struggle with outdated computer systems, with around 60% being more than 20 years old.