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tv   New Tech Economy Japan  BBC News  August 28, 2022 3:30pm-4:01pm BST

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in a historic event, and we're also doing a 1.5k walk, so that is how we're doing it. amazing. it is also a tribute to grenfell tower, isn't it? you're all in green. tell me how that mean so much to the community? it does because grenfell was a tragedy that should never have happened and impacted on primarily black and brown people affects us all because it could have been ourfamily members, it could have been us in there and, actually, how many years later and still no justice? so we have remembering grenfell on our backs because we have to remember the 72 people, the 72 lives that were lost in the life that we impacted, so we're here really honouring those people, really, and we have sold t—shirts, we have donated with regards to them coming down as well and some people are coming down and so i think it is important to mark that.
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we're starting our run with a 72 seconds silence. just in terms of the rest of carnival, what is the feeling amongst people at the moment here? this is the first time carnival has been on the streets since 2019. it means a heck of a lot for people. i grew up in west london and i remember coming to carnival every year and dad carrying me on my shoulders and my sister on my uncle so we have roots connected to carnival so the fact it is back in the first time in three years is incredible and the atmosphere here is electric and i feel the energy. people want to come down here on a sunday morning. there are people coming at 8:30. it has been an amazing experience. thank you for speaking to us. this is just the start of the days, there will be musicians to show and we will be giving updates at the day. the prince of wales has guest edited a special edition of the british african—caribbean newspaper, the voice, to mark its 40th anniversary. it carries interviews with baroness doreen lawrence — the mother of stephen lawrence — and also campaigner baroness
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floella benjamin — in an edition focusing on the themes of community cohesion, education, and climate. the voice�*s executive director, paulette simpson, said the prince shares their vision for positive change. this collaboration was important, and what i deeply hope is that many other persons will see this move that he has made as an example for positive collaboration that will create a better society. paulette simpson from the voice. now it's time for a look at the weather with sarah keith lucas. hello. a lot of fine, settled weather in the forecast for the rest of today and tomorrow, and much of the week ahead. high—pressure dominating things, one or two showers as we head into the evening, northern ireland, perhaps north—west england, central scotland. but many places in late sunshine into the evening filled up six o'clock in the temperature still above 20 for much of england and we also talk of for scotland, towards the north and east, i2, scotland, towards the north and east, 12, for the shetland isles.
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towards evening and overnight, an area of rain developing for parts of north—west england, the isle of man, northern england, perhaps into dumfries and galloway, but either side of that a lot of dry, fairly cloudy and mild weather overnight must have temperatures holding between 11 15 first tomorrow. monday, a bank holiday for many of us, likely to see some patchy rain for a central part of the uk, easy quite quickly, some showers for parts of scotland but a lot of dry weather, dry weather towards the south and south—west, temperatures on monday between 15 to 23. goodbye for now. hello, this is bbc news. the headlines: pakistan is warning that millions more people are likely to be caught up in the unprecedented flooding that's already claimed more than a thousand lives. "get a spine" — the message from britain's biggest trade union to the labour party over standing up for working people struggling with the cost of living crisis. merseyside police have issued an online video appealing for help
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catching the person who shot dead nine—year—old 0livia pratt—korbel inside her home last week. why record breaking hot and dry weather this summer has seen more exotic plants growing in the uk. and the notting hill carnival is back — returning to the streets of west london for the first time since 2019. now on bbc news, mariko 0i travels across japan to see what impact new funding may have on tech and explores whether it has the potential to be asia's silicon valley. home of nintendo and the bullet train, japan was once a pioneer in innovation, but then fresh global competition emerged.
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i'm heading home to meet the next generation of entrepreneurs across the country. where starting your own business wasn't always seen as an ideal career choice. for many areas, start—ups have kind of disadvantages injapan, but from now it'll be changed. the government is putting its weight behind this and has tapped into its huge pension fund, worth $1.5 trillion, hoping to increase the number of starters by ten fold over the next five years. they want to encourage a spirit of enterprise in every corner of the land. i've come to tokushima. it's a bit of a backwater and hasn't got a reputation of being a thriving area. but it has been trying to reinvent itself as a place for start—ups, and in recent years a local company has hit the jackpot by taking its new venture across the country.
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this little truck offers a lifeline to thousands of elderly who live in a remote area like this. it's a supermarket on wheels called tokushimaru, and it's named after the area. junichi kishimoto, one of the company's drivers, is making a regular stop in the small town of kamiyama. fewer than 5000 people live there, and all of his customers are over 75. they no longer drive so a service like this is notjust crucial for their essentials, but also has a big impact on their social lives. translation: he remembers| what i want to buy every week. if my grandkids are coming on sunday, i request something special. it is nice to be able to chat with friends after my shopping. translation: oh, no, no, i cannot use a smartphone! j
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i have been shopping with them for five years because it is very helpful. the company was founded a decade ago. initially it only had two trucks in tokushima. today it's got more than 1000 of these on the road across japan, with an annual sales topping $150 million. some of the customers live alone after their partners passed away. so it is also a nice weekly bit of human interaction. forjunichi, joining the company was more about helping the elderly rather than picking up a wage. translation: | used - to work at a nursing home and i realised some residents came to live there because they were worried about their everyday food. so i wondered how i could help. that's when i found this company. the company's founder, tatsuya sumitomo, is a serial entrepreneur. he has decided to start up
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the venture after seeing his own parents struggle with their daily routine. translation: my parents, - in their 805, lived in a rural area and they were really struggling to get hold of basic necessities. their neighbours with the same. but no one in the society was coming up with a solution. that's when i thought that this could be a good business. he's started many businesses over the past 30 years and has this piece of advise for younger entrepreneurs, firmly believing making mistakes was not necessarily a negative. translation: there is no point in increasing your - knowledge by reading books. you have to go to the field, to the real world. because it's really different from what you can learn at school. you need to fail, you have to struggle, you have to face difficulties and that is how you grow. the japanese government is playing catch up with its economic rivals when it comes to start—ups. recently it announced that it
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would tap into the world's largest, $1.5 trillion pension fund to finance the scheme. under current law, 5% of the fund can be used for the new initiative. that is the equivalent of $75 billion. the plan wants to encourage more local companies to think big. but one of the main barriers to innovation might be japan's own lucrative domestic market of elderly customers. up until now they have not demanded cutting edge technology, but that is beginning to change. so will the likes of tokushimaru join the online revolution? the company is also moving with the times. at the moment all of the orders are in the driver's head but it is now testing out an app which it hopes will become available in the next two years. that means that the next generation of customers will have an option to order online. mr sumitomo is fully aware
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the company needs to go digital or risk being left behind by its rivals. translation: baby boomers in their late 70s will soon - become our customers. they have better internet literacy. so we're combining our mobile supermarket with online shopping. no matter how much technology is developed, our basic needs to eat and sleep don't change. there will always be customers who want to see fresh produce in person before making the purchase. so i do think there will be demand for our mobile supermarket. the senior citizens of kamiyama may prefer to pay cash for the moment, but this little town has big plans to innovate. like most rural areas injapan, the population has shrunk and aged as young people left for the cities. now it is about to welcome an influx of teenagers dreaming
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of running their own businesses. right behind me they are building a brand—new boarding school, which is quite rare and ground—breaking. they are planning on opening in spring of next year, which they hope will produce the next generation of japanese entrepreneurs. the school is for 15— to 20—year—olds. it will costjust over 20,000 us dollars each year to attend. across the river there is an old abandoned school which is being refurbished into accommodation for the 200 plus students and staff. the man behind it is chikahiro terada. he's the boss of tokyo—based start—up sansan, which specialises in digitalisation of business cards. mr terada is not from here, so why did he choose tokushima, and this small town? translation: 12 years ago | i set up a remote office here because i heard that kamiyama is an interesting town with high—speed internet at old houses. mr terada paid a visit and met with local businessman shinya 0minami,
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who was behind this town's revival. translation: after sansan, others followed to set up - their remote offices in kamiyama. it was exciting to see the town being rejuvenated. i then wondered what else i could do to contribute back to society. that is when i thought, education. i became an entrepreneur after graduating from university but i don't recall learning any crucial skills i needed to start a business with at school, so that is what i wanted to address. the curriculum will include subjects such as engineering, programming, designing, as well as business skills like marketing. these potential students are here to attend the school's summer camp. translation: this school is - unprecedented and fits my purpose, that is why i chose it.
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i live in kamiyama, it isn't very rich _ i live in kamiyama, it isn't very rich in — i live in kamiyama, it isn't very rich in nature, i thought by coming here _ rich in nature, i thought by coming here it _ rich in nature, i thought by coming here it will— rich in nature, i thought by coming here it will polish up my creativity. this school teaches- i entrepreneurship and art. i want to start my own business i using ai and the latest technology. there are also 50 entrepreneurs coming here as guest lecturers. i think that is very important for our students to know that steve jobs, elon musk are normal people and that behind the new revolution is an ordinary person. there is no financial subsidies from the local government, but they gave us an abandoned school and a plot of land. we have also managed to raise $50 million from donations ——$15 million from donations and through a local tax system. more than 30 companies are now behind us, mostlyjapanese, but also international ones like consultant firm deloitte. in a country where most elite students have long aspired to join large corporates until recently,
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his ambitions plans have seen some big interest with more than 500 students from all overjapan attending briefings to find out about the first a0 slots. translation: the japanese children's mentality is definitely changing. - the top—notch elite no longer want tojoin big corporations, they are more interested in started their own business. what they are doing here is exactly what the japanese government hopes to see, with start—ups and entrepreneurship popping up across the country. but the fact remains that japan is still playing catch up against its regional rivals and this changing mindset is not a quick fix. crucially, it is committed to a 50/50 ratio of boys and girls which is a step in the right direction forjapan, where men still dominate the start—up scene and workforce.
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mr terada is hoping to raise funds so that future students can study for free. he believes that that is the investment required to train future generations of forward—thinking entrepreneurs. if japan wants to succeed in competing with silicon valley. tokyo tends to get a lot of global attention, especially when it comes to tech start—ups. i am travelling on one of japan's most famous inventions, a bullet train, to another city that won some of that spotlight. kyoto is the country's ancient capital, known for its century ——centuries—old temples and shrines. but its biggest festival, which started in the ninth century, is now going digital. this shows all the carriages are. she started a digital map business in 2015. this map is dedicated to the festival. can you tell me why this house
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is on your digital map? this house is a preservation office for a major carriage of the gion festival. and the streets gets very crowded? oh yes, it gets very crowded in the city so it is really important for us to find where the carriages are. this is where the business idea came to her — at the movie theme park. we wanted to show where users are. it was really hard to find yourself on these objective maps. so how does it work? who pays you to be on the map, is it users or businesses? we don't charge users, we only ask the businesses to use our service.
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it is an annual subscription and these businesses are like developers, transportation, travels and also theme parks. because they have these maps that were already there but they are analog, they are on papers or on the signboards, or on pdf, or on their website and they are not interactive so they want us to make them interactive, digitised, gps and up to date information. this temple has always been a popular tourist attraction, but it is so crowded today, isn't it? i think it is the first time in three years that is so crowded. is that a relief for you and some of your clients? definitely. because of these visitors coming back our clients are getting more of their business coming back. what about you being a female entrepreneur? i have noticed that japan's start—up scene is still very much male dominated. have you faced more challenges when you wanted to raise money?
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definitely. when i started in 2015, thinking about starting my own business, it was more like, there were no women in this information technology field. so, i had to find my way into this community. so that i find funding and support. so i had to actually contact someone in silicon valley instead of in japan. it interesting that you say you had to contact someone in silicon valley. you travel around the world, do you notice the difference between the japanese start—up scene and elsewhere? oh, yes, definitely. there are definitely more female leaders outside ofjapan who are visible in conferences and this ecosystem. there are more ceos that are female or more government leaders that are female. but injapan there is hardly any support, especially forwomen, until very recently.
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but they just started working on that. if there is one piece of advice for young entrepreneurs, what would that be? jump into that ecosystem. it is very easy to get to know someone in that field. once you know someone it is a network and it is a great network that you need to expand your business. we have 10,000 maps... her success is an exception to the rule. one of the reason why female entrepreneurs like her find it difficult to raise money is because only 1% of funds that lend money, known as venture capital firms, are run by women. this is one of them, best known for her womenomics drive since the 90s. which is to encouragejapanese economy to improve quality. she is still working on the same course. this time to increase the number of female politicians. she has also recently started a venture capital fund with two female partners.
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i would say the vast majority of entrepreneurs that we have met so far injapan, not surprisingly, are male. when we think about start—ups and what are start—ups really trying to do, they are trying to use innovation, to create disruptive businesses, life changing technologies and if you are excluding half of the population from your potential talent pool start—up, you are already trying to run a marathon on one leg rather than to. if i think that japan has actually experienced quite a dramatic expansion in its venture start—up ecosystem in the last eight, nine years, we have also seen a visible shift in human capital flow. i think the start—up system was perceived as, if you don't work
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at a big company you can't fit in a big company, this is plan b. in other words, not mainstream. but we're now seeing young people coming out of say, investment banks or consulting firms thinking, life is short, i want to do something on my own. we see a lot more entrepreneurs and our ecosystem has grown something like sevenfold in the past seven or eight years. which is big. the absolute amount of money going into start—ups is still maybe one 35th or one 40th of that of the united states, despite japan being one of the biggest economies in the world, despite having tremendous capital and despite having leading edge technologies. to change that, japan's elite universities are also setting up their own venture capital firms, in part thanks to government funding. kyoto university has produced 11 nobel prize winners. but it wasn't known for producing a lot of start—ups
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and that is something the government wanted to change. translation: today, | a department dedicated today, a department dedicated to innovation is led by this man. in 2015, it received $300 million, along with three other universities. the funding allowed the university to set up three funds. since then the number of start—ups have more than doubled to 242, second only to tokyo university. kyoto specialises in deep tech, that is new technology that has a potential to change the world. this area requires a long time and a large amount of money. so, sometimes it is a prime investment company hesitates to enter an investment. one of the start—ups which received funding from the university
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is developing the next technology of solar cells, which can create energy, not just from sunlight but also from artificial light. they are also making this. look how thin it is! it is like a piece of paper. they are hoping to make a principle in the next three years, they are also making it transparent. you can just put it on your window and create energy without blocking any sunlight. translation: our solar sheets have two sides, l one for sunlight and one for artificial light. if we make both sides transparent, one sheet can create energy from both sides. when ready, they are hoping that their solar sheets will have similar efficiency to a regular solar panel. translation: we hope to market them . in three to four years but we need . to make them durable, for any kind of weather conditions. so that would take longer. this type of venture is exactly what kyoto university is about, they focus on providing long—term
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support for the latest innovation and are prepared to play the long game to get it right. we received a lot of support from kyoto university before we started our business. through their programme we received 30 million yen this year and after our company was founded the university venture capital gave us 500 million yen in total. that is a lot of money. for a hard manufacturing business like ours we struggle to raise money, but kyoto university's venture capital focuses on businesses like ours so it matched what we needed. another start—up success story from kyoto university is this chip manufacturer, it makes power semiconductors which use energy more efficiently and extend the life span of products, such as electric cars. the company's chips are used
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everywhere, but a recent global shortage caused by the pandemic has suddenly put the company in the spotlight. a kyoto university graduate founded this company in 2011. translation: the mentality has changed drastically. _ kyoto's uniqueness is being small and yet diverse. kyoto university is at the heart of it and with so many researchers in our community, anyone can access what is needed to start a business. it has been ten years since we started our firm because deep tech takes time and people at kyoto understand this. 30 years ago, japan was a pioneer in the semiconductor industry, now it has less than 10% of the market share, despite having some of the world's largest tech companies. it's firms like this the government hopes will lead the road to recovery. establishing a significant presence in the highly competitive semiconductor industry, dominated by south korea and taiwan, won't happen overnight.
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china and the us are also trying to put their stamp on the market, with washington spending some $280 billion in semiconductor production and research in order to reduce dependence on other nations. translation: semiconductors are needed globally. _ some governments may try to intervene to ensure the supply for their home markets. but it takes a long time to produce semiconductors. to mass produce them, we need a lot of stakeholders, a lot of companies in many countries. that is why the alliance with other companies is important. that is new innovation dealing with current world problems. japan is a country with a rich history. this 400—year—old dance called awa 0dori has found a way to go big outside of the tokushima area. it is now performed in other much bigger cities like tokyo every year.
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while somejapanese culture and traditions have gone mainstream globally, many businesses and recent start—ups still focus on the domestic industry. its lucrative home market is a blessing and a curse, as companies don't need to expand overseas to become profitable. but if japan wants to move on from relying on its past glory and catch up with its rivals, they too need to step out of their comfort zone. hello. a lot of fine settled weather in the forecast for the rest of today and tomorrow. much of the week ahead, too.
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high pressure really dominating things out there. one or two showers as we head into the evening for northern ireland, perhaps north west england, one or two for central scotland. many places, though, seeing a bit of late sunshine into the evening hours, 6:00, temperatures still above 20 degrees for much of england and wales, a little bit cooler for scotland, particularly towards the north and the east. 12 degrees there for the shetland isles. now, through this evening and tonight, then, we're set to see an area of rain developing for parts of north west england, across the isle of man, northern ireland, perhaps into dumfries and galloway too. but either side of that, a lot of dry and fairly cloudy, mild weather overnight. so temperatures holding between about 11 to 15 degrees first thing tomorrow. now, through monday, a bank holiday for many of us, we're likely to see a little bit of patchy rain here for central parts of the uk, easing away quite quickly. a few showers for parts of scotland too, but a lot of dry weather. best of the sunshine towards the south and south—west. and temperatures on monday between around 15 to 23 degrees. goodbye between around 15 to 23 degrees. for now.
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this is bbc news. the headlines at four... pakistan warns millions more people are likely to be caught up in unprecedented flooding that's already claimed more than a thousand lives — and appeals for more assistance and aid. some days we are able to eat, other days we are not able to eat. i have children and they are all sitting on the vote. ——the road. "get a spine" — the message from britain's biggest trade union to the labour party over standing up for working people struggling with the cost of living crisis. merseyside police have issued an online video appealing for help catching the person who shot dead
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nine—year—old 0livia pratt—korbel inside her home last week.

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