Nvidia’s Jensen Huang Seals Major AI Deals in Japan, Eyes “Physical AI” Era

Nvidia CEO Jensen Huang recently concluded a two-day visit to Tokyo, securing pivotal deals with Japan’s industrial and chip-supply leaders. The agreements span a national AI factory, collaborations with prominent robotics companies, and partnerships with chip-material suppliers crucial for Nvidia’s next generation of AI chips. Huang’s message underscored Nvidia’s focus on Japan’s factory floors and the country’s potential to lead the “physical AI” era, where AI powers robots and machines in the real world.

Japan’s Sovereign AI Ambition

A key outcome of Huang’s visit is the establishment of Noetra, Japan’s sovereign AI initiative. With a commitment of up to 1 trillion yen ($6.2 billion) over five years, this project aims to develop homegrown “physical AI” foundation models tailored for robots, vehicles, and factory operations. The initiative brings together 44 domestic firms, including SoftBank, Sony, NEC, and Honda, seeking to reduce dependence on foreign AI infrastructure. While Japan aims to own the AI software brain, the underlying hardware for this ambitious project will still be supplied by Nvidia.

Vera Rubin AI Factory

As part of the Noetra initiative, Nvidia will build a “Vera Rubin AI factory,” a massive data center in Japan scheduled to launch in 2028. This facility will be equipped with 13,750 Vera CPUs and 27,500 Rubin GPUs, delivering 140 megawatts of power. Noetra will oversee the data center’s construction and operation. The project outlines a three-stage development plan: a Japanese-language reasoning model by fiscal 2026, an omni-modal version handling text, images, video, and audio by 2028, and “Real-world Native AI” for robots by 2030, with phased releases to external developers.

Robotics Coalition and Cosmos 3 Edge

Nvidia is actively targeting Japan’s manufacturing sector. Numerous top Japanese robotics and manufacturing firms, including Fanuc, Yaskawa, Kawasaki Heavy, Fujitsu, Hitachi, NEC, Sony, SoftBank, and Kubota, are aligning with Nvidia’s Cosmos models. Cosmos is an open-model effort initiated by Nvidia with global AI labs. During his Tokyo visit, Huang unveiled Cosmos 3 Edge, a version of the model designed to run on Nvidia’s Jetson Thor chips directly within machines. This development is expected to accelerate the adoption of advanced AI in industrial robotics and automation.

Toyota’s Expanded AI Integration

Toyota, which already uses Nvidia chips across its vehicle stack, is deepening its partnership. Following its commitment to Nvidia’s Drive platform for next-generation vehicles, the collaboration now extends to integrating Nvidia’s technology into manufacturing processes, using simulations for production line design, and enhancing in-vehicle software for advanced driver assistance systems. This strategic move by Toyota reflects the broader industrial shift towards leveraging AI for both product development and operational efficiency.

Japan’s Strategic Vision for Physical AI

Japan’s push for physical AI is driven by a long-term strategic vision, particularly in response to a shrinking workforce. The country aims to deploy 10 million AI-equipped robots across 18 sectors by 2040, backed by a significant $65 billion in public and private investment. The Japanese government’s AI Robotics Strategy, released in March, targets capturing over 30% of the global AI robotics market, valued at approximately ¥20 trillion (about $133 billion), by 2040. This ambition positions Japan’s manufacturing base and extensive factory-floor data as crucial assets in developing large-scale, trillion-parameter foundation models for physical AI.

Datos clave

Aspecto	Detalles
Nvidia’s Focus	Targeting Japan’s factory floors, robotics, and advanced manufacturing for the “physical AI” era.
Noetra Initiative	Japan’s sovereign AI project with 1 trillion yen ($6.2 billion) investment to develop homegrown AI for robots, vehicles, and factories; Nvidia to build Vera Rubin AI factory.
Robotics Partners	Fanuc, Yaskawa, Kawasaki Heavy, Fujitsu, Hitachi, NEC, Sony, SoftBank, Kubota aligning with Nvidia’s Cosmos models, including the new Cosmos 3 Edge for on-machine deployment.
Japan’s Goal	Deploy 10 million AI-equipped robots by 2040, aiming for over 30% of global AI robotics market (valued at $133 billion).

For Indian readers, these developments in Japan highlight the global race in AI and robotics, particularly in industrial applications. India, with its growing manufacturing sector and digital initiatives, can draw parallels and lessons from Japan’s strategic investments in sovereign AI and physical automation. The emphasis on developing national AI capabilities and integrating AI into core industries signals a future where AI-driven manufacturing becomes a competitive imperative, impacting global supply chains and technological leadership.

Source: TechCrunch AI, https://techcrunch.com/2026/07/19/what-to-watch-for-after-jensen-huangs-japan-visit/