Microsoft Commits $10 Billion to Japan AI Build-Out With SoftBank and Sakura Internet
Microsoft will invest $10 billion in Japan between 2026 and 2029 to expand AI infrastructure, strengthen cybersecurity and train one million engineers and developers by 2030. The announcement, made during a visit to Tokyo by Microsoft Vice Chair Brad Smith, includes partnerships with Sakura Internet and SoftBank to provide GPU-based compute resources housed entirely within Japan. Sakura Internet shares surged as much as 20 per cent on the news. Microsoft will also partner with Fujitsu, Hitachi, NEC and NTT Data on the workforce training programme, building on a previous $2.9 billion commitment made in April 2024.
Why it matters for Asia
Japan has been racing to close the gap on AI infrastructure while keeping data within its borders, and this deal gives the country a significant boost in domestic GPU capacity at a time when compute access is a bottleneck across Asia. For enterprise buyers in the region, the SoftBank-Sakura-Microsoft tie-up signals that Azure customers in Japan will soon have access to locally hosted AI computing - a critical factor for industries with strict data residency requirements such as finance, healthcare and government.^
