Japan to Pick Base Cities to Create Globally Competitive Startups

Politics

Tokyo, June 11 (Jiji Press)--A government council came up with an innovation initiative Tuesday calling for full support for creating cutting-edge startups in several designated "base cities" across Japan.

The initiative, called a strategy to create globally competitive startup companies, is aimed at doubling the number of innovative startups by fiscal 2024 from the fiscal 2018 level, against the backdrop of the emergence of more than 300 "unicorn" new businesses with a valuation of one billion dollars or over each mainly in China and the Unites States.

It was drawn up at a meeting in Tokyo of the Integrated Innovation Strategy Promotion Council, chaired by Chief Cabinet Secretary Yoshihide Suga, along with two other initiatives as well as the fiscal 2019 integrated innovation strategy, which will be adopted by cabinet ministers by the end of the month.

"Competition for technological dominance is intensifying, and concern over national security is rising," the integrated strategy says, expressing fears that Japan could be left out.

To give intensive assistance for creating highly competitive startups, the central government will solicit project plans from local governments in January next year and pick two to three "global base cities" and several "promotion base cities" by March. From fiscal 2020 starting in April, the governments will help establish startups together with private-sector businesses and universities.

[Copyright The Jiji Press, Ltd.]

Jiji Press