Why Japanese firms are being so slow to use AI

What the report says

BBC World News reports that Japanese companies are adopting artificial intelligence much more slowly than many peers in the US, UK and parts of Asia, despite facing labour shortages, an ageing population and weak productivity. Citing OECD data, the article says only 8.4% of Japanese workers use AI at work, compared with 50% in the US and 32% in the UK. It notes that Singapore’s workplace use is far higher as well, underscoring Japan’s lag.

The piece attributes the cautious rollout to corporate culture: executives and researchers quoted by BBC say many firms are risk-averse, consensus-driven and wary of errors, especially in customer-facing roles. In practice, the technology is often limited to low-risk tasks such as drafting, summarising and information gathering, rather than core operations or decision-making. The article also points to broader barriers, including low digital literacy, an estimated shortfall of IT workers by 2030 and legacy systems that remain widely in use.

BBC World News says the Japanese government is trying to accelerate adoption through the AI Promotion Act, a light-touch policy intended to encourage investment and make Japan more attractive for AI development and use. Officials say business adoption has increased, but critics argue that use remains shallow among many staff. The report frames the issue as important because Japan’s long-running productivity problem could worsen if companies do not find ways to use AI more broadly while balancing fears about job losses.