Japan Eyes Trialing Dual-Use Tech Developed by Startups to Promote Their Use

The Yomiuri Shimbun

14:44 JST, April 24, 2026

The government is set to establish a framework under which each ministry and agency conducts a trial run of utilizing dual-use technologies developed by startups with the aim of promoting the use of such technologies, according to sources.

The government aims to secure contracts worth ¥1 trillion in five years.

As the introduction of cutting-edge technologies is a major challenge in strengthening defense capabilities, the initiative aims to support startups by utilizing their dual-use technologies, such as drones and artificial intelligence, to help them grow and improve their products.

Dual-use technologies are products that can be used for both civilian and military purposes.

The government plans to include this initiative in its growth strategy to be finalized this summer.

After the budget is decided, ministries such as the Defense Ministry, the Economy, Trade and Industry Ministry, and the Land, Infrastructure, Transport and Tourism Ministry will secure products and services through long-term contracts and verify their safety and effectiveness through continuous operation.

The government will then tell companies about the positive aspects of their products as well as if there were any issues in order to help improve the technologies.

The government expects that the initiative will not only provide it with the know-how to operate new technologies but also contribute to increased sales, allowing the startups to secure funding. The government intends to secure large-scale procurement contracts with companies whose technologies are found useful.

The initiative will target 17 key sectors — including the defense and aerospace industries — that the administration of Prime Minister Sanae Takaichi has designated as areas in which to strengthen investment.

In particular, the government aims to leverage areas in which Japanese startups hold a competitive advantage over other countries.

For example, the government envisions monitoring maritime conditions, such as suspicious vessels, by simultaneously operating a large number of unmanned surface vessels that are powered by batteries, which are charged by solar energy, and have a cruising range of up to 2,000 kilometers.

The government aims to promote the use of drones by having them be used by the Defense Ministry to strengthen defense capabilities, by the National Police Agency to help respond to incidents, and by the Land, Infrastructure, Transport and Tourism Ministry to assist in disaster and river management.

The government also envisions using drones to make road and bridge inspections more efficient and using AI for ship inspections and maritime observations.

At the Council for Japan’s Growth Strategy meeting on Wednesday, Takaichi expressed her intention to provide focused support to startups as “drivers that accelerate the social implementation of cutting-edge technologies.”

Japan significantly lags behind the United States and China, countries where the government invests heavily in the development and utilization of dual-use technologies.

In light of this, the utilization of startups is a major point of focus in the revision of the three security-related documents scheduled for this year.