3 Japanese Multinationals Leading Japan’s Startup Scene
The word “startup” might not be heard together as much in Japan compared to the U.S. or Singapore. Entrepreneurship in The Land of the Rising Sun has long been viewed not as positively as having a steady job at a large corporation. But in the recent years, we have observed the startup scene growing and starting to gain traction. Japanese big corporations are also starting to recognize the importance of the innovation that these startups bring by supporting them in different ways.
Other than the usual investments towards venture companies, these three Japanese multinationals are involved in startups in their own unique ways.
1. Softbank
Softbank is a telecommunication company that is also the most well-known multinational in Japan’s startup scene. Its billionaire founder and CEO Masayoshi Son is an active investor both in and outside of Japan, directing Softbank to invest in several “unicorns” including China’s Alibaba, Yahoo! Japan, and India’s Snapdeal.
However, venture funding is not all Softbank does to contribute to the startup scene. The telecommunication giant also launched Softbank Innovation Program back in 2015, which is a “program that seeks a wide range of innovative solutions and technologies from outside the company for joint consideration and commercialization,” the website says. Softbank aims to seek innovative ideas and technologies and combine them with Softbank’s resources such as funding and assistance, to provide synergy to both parties.
In a different light, Masayoshi Son’s younger brother and Softbank advisor Taizo Son also became a prominent figure in Japan’s startup scene. 15 years younger than Masayoshi Son, Taizo Son founded Mistletoe Inc. as an approach to have more focus on building an ecosystem for startups to flourish. This includes early-stage venture investment, startup studio, accelerator, and also supporting startup events like Slush Asia.
2. Mitsui Fudosan
Unlike Softbank that operates around technology and has been actively investing in startups, Mitsui Fudosan’s presence in the startup scene was almost never heard of. That was until 2015, when the real estate developer launched 31 Ventures, a venture co-creation initiative to provide startups with the assistance they need to develop and scale their ventures. It plans to do so with three main pillars: community with co-working spaces, hands-on support in different stages of business development, and also financial investments.
As a real estate developer, Mitsui Fudosan has an edge in providing startups with the space they need. Currently, Mitsui Fudosan has 6 locations dedicated for 31 Ventures in and around Tokyo, ranging from co-working space, private office, as well as meeting and event spaces. One of the locations is located in Kashiwa-no-ha Smart City in the outskirts of Tokyo, which also emphasizes on using technological innovations such as customer service using ubiquitous technology in the real estate sector.
3. En Japan — AIR
En-japan is one of Japan’s largest recruitment services companies, with a diversified HR-related business in its home country and overseas branches in Singapore, Australia, South Korea, Vietnam, Thailand, China and India. As a recruiting company relying mostly on internet-based services, the publicly listed company is no stranger in adopting the latest technologies to improve its HR operations.
Looking ahead and adapting to the startup culture to gain an innovative edge, the company recently launched AIR, its corporate startup operating almost independently. AIR specializes in providing data-driven digital products for the HR industry. We are technically not a startup but act and perform like one, which is 180 degrees from what a typical Japanese company would operate. Salaryman-style business suits are replaced with T-shirts and jeans, and the team works closely with no communicational hierarchy and barrier in an open-space office. Our small team of engineers, designers and innovators come from different countries ranging from France, the U.S., Germany, Australia, and Japan among others. There are also special business practices such as a more flexible work schedule, using English in the office, and ditching internal emails for Slack.
AIR’s international team has always focused on developing global-oriented products. Our latest product is Vibe, a morale meter for teams using Slack. This management tool measures the emotional state of the team, allowing managers to better understand their team and take timely actions. The algorithm assesses the team’s conversations to measure indicators such as happiness, excitement, hostility, withdrawal, and engagement. As it is all done with Artificial Intelligence (AI), there is no need for polls, surveys, and feedback collections that can be both subjective and time-consuming.
So don’t forget to think about Japan the next time you think about startups. The opportunities and innovations that they bring are just too good to ignore. At Vibe, we help those innovations flourish by supporting the morale of the teams behind them. Vibe, from Japan to the world.
