Shares of Sakura Internet surged by as much as 20.2% on Friday following Microsoft's announcement of a $10 billion investment plan in Japan, set to span from 2026 to 2029. The investment aims to develop artificial intelligence infrastructure, bolster cybersecurity, and train 1 million engineers and developers by 2030. Microsoft has begun discussions with Sakura Internet and SoftBank Corp. to provide AI computing resources, including graphics processing units located within Japan, as part of this initiative [1].
The announcement was made during Microsoft Vice Chair and President Brad Smith's visit to Japan, where he met with Prime Minister Sanae Takaichi. Smith highlighted the growing demand for cloud and AI services in Japan, noting that approximately one in five working-age individuals in the country use generative AI tools, compared to the global average of one in six, according to Microsoft's AI Diffusion Report [1].
The partnership will enable data processing within Japan and support the development of advanced AI systems, including domestic large language models. Additionally, SoftBank and Microsoft Japan are discussing a joint solution to allow Microsoft Azure customers to utilize SoftBank's AI computing platform [1].
Market reactions were positive, with SoftBank Group shares rising 0.22% and SoftBank Corp. up 1.02% in Friday trading. Microsoft also announced partnerships with five other major Japanese IT companies—NTT Data Corp., NEC, Fujitsu, and Hitachi—to help train 1 million AI professionals by 2030 [1].
CONCLUSION
Microsoft's $10 billion AI investment and partnership with Sakura Internet and SoftBank have triggered a significant rally in Sakura Internet shares and modest gains for SoftBank entities. The initiative is expected to accelerate Japan's AI infrastructure and talent development, positioning the country as a leader in advanced AI systems and cloud services.