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The Japanese industry of the future: strategy, key technologies and means of action.

The organization of the Tokyo Olympics in 2020 represents, for both the government and the major Japanese companies, the main horizon for the development and diffusion of technologies that will constitute the industrial future of Japan. Robotics, the Internet of Things, Big Data, new visualization technologies, 5G and hydrogen will thus constitute Japan's "technological showcase" for the Olympics. To this end, the Japanese government has adopted a new growth strategy aimed at bringing Japan into the era of "Industry 4.0", setting ambitious targets such as the establishment of 50 "smart factories". in 2020. Various tools are also put in place to stimulate investment and facilitate the development of new technologies in industry.

1. Intelligent factories and robotics at the heart of the Japanese government's new industrial strategy.

1.1. 50 "smart factories" in 2020. On April 12, 2016, on the occasion of the fifth meeting of the public-private dialogue on future investments, Prime Minister Shinzo Abe outlined the revised growth strategy. This strategy sets out an action plan for the manufacturing industry to enter the fourth industrial revolution through ICT. Several objectives are set:

- a digital target for the establishment of "smart factories" whose operation will make extensive use of IoT technologies: 50 sites across the country by 2020;

- tripling (up to JPY300 billion) in the 10 years of investment by private companies in universities and research institutes;

- Establishment by the government of 5 strategic research centers with piloting involving companies and universities;

- strengthening cooperation with Germany, so that both countries play a leading role in the process of international standardization of IoT equipment for smart factories. One of the first concrete measures announced by Shinzo Abe regarding this cooperation is the sharing of data collected on 50 Japanese industrial sites with Germany.

A general objective is also to foster inter-sectoral, inter-industry and public-private cooperation for optimal use of big data, identified as the main pillar of the 4th industrial revolution.

1.2. 100 billion yen to support the robotization of Japan by 2025. The development of robotics is the other major component of Japan's industrial strategy. As part of the Prime Minister's growth strategy, a "Council on the Realization of the Robotic Revolution" was set up in September 2014. This Council published in January 2015 a report on Japan's new robotics strategy, aimed at to meet the dual challenge of an aging population (notably a declining workforce in the services sector, and increased assistance needs for the elderly) and the declining competitiveness of Japanese industry, then Even though the Japanese industrial robotics market, although still the world's largest with a stock of about 300,000 robots in operation, is experiencing a gradual narrowing due to slowing demand from Japanese industry.

This strategy, which plans to inject JPY 100 billion (around EUR 778 million) by 2025 to support the robotisation of the manufacturing, health, personal assistance, infrastructure, construction and agri-food industry, aims in particular to develop technological bricks to improve the efficiency of robots (sensors, artificial intelligence ...), the adaptation of the regulatory apparatus for testing and dissemination of robotics, and the establishment of international standards. This strategy provides for the financing of research, testing and marketing projects for robots and robotic systems in five areas: industry and services; medicine and elder care; agro-food; infrastructure and disaster prevention; research in pure robotic technologies.

2. Major Japanese groups are working to develop a state-of-the-art technology package for the Tokyo 2020 Olympic Games.

Tokyo's major Japanese partner groups in 2020 are focusing on several target technologies that will make this global event Japan's "technology showcase":

2.1 The evolution of visualization technologies should make it possible to broadcast all the contents of the Olympic Games in 8K. The research institute of NHK, Japan's leading TV and radio company, has developed 4K (3840 x 2160 pixels resolution) and 8K (5120 x 2880) technologies in Japan. Panasonic, the Olympics' top partner for audio and video technologies, will capture competitions with its Super-Hi Vision cameras produced in partnership with NHK. The challenge now is related to the distribution of content. The entire production chain will have to be redesigned to reduce the size of equipment and production costs, to ensure the democratization of 8K by 2020.

2.2 The big data sector is booming in Japan. In 2015, Fujitsu invested JPY 52.3bn to increase by 50% its domestic storage and data processing capabilities in preparation for the Olympics for which the company will provide all the data centers needed to store the data and applications that will be used for Tokyo 2020. Big data enables the development of numerous applications, particularly for the management of passenger flows, a key point for the organization of the Games. The Japanese government is encouraging Japanese companies to share their data to support the development of new applications. To this end, METI created the Strategic Council for Creating Innovation Data-Driven Innovation in 2014.

2.3 With the emergence of the Internet of Things (IoT) sector, a new ecosystem of players is developing innovations for consumer applications such as wearable devices or components of new smart homes. mainly for industrial applications (which accounted for 40% of total IoT sales in Japan in 2014, followed by distribution, services and infrastructure). Robotics is also an expanding IoT application, as are connected cars. DeNA Co is working on the development of self-driving taxis by 2020. In addition, to support the sector, the government launched the IoT Promotion Consortium on October 23rd, 2015, the aim of which is to foster collaboration between representatives of the worlds. academic, industrial and government issues IoT. The French start-up Sigfox participates in the meetings of this consortium.

2.4. The deployment of 5G by 2020 aims to streamline the exchange of data given the large number of visitors expected in Tokyo for the Olympics. Japanese actors are working in the Fifth Generation Communication Forum (5GMF) to promote R & D on 5G and to adopt a standard that reflects the standards used by Japanese companies. NTT DoCoMo - which had been the leader in 3G and one of the major players in 4G - hopes to launch its 5G offering in 2020. The group has already launched a test program for the exploitation of frequency bands above 6 Gigahertz , alongside NEC, Ericsson, Fujitsu, Nokia and Samsung.

2.5. For the development of a hydrogen company, Japan plans to invest JPY 42 billion (more than EUR 300 million) by 2020 to develop transport and infrastructure based on the use of fuel cells. The government has set itself the target of installing 100 hydrogen stations by the end of the 2015 fiscal year (March 2016), subsidized by 60% of the estimated unit cost of 460 M JPY (3.1 M EUR) . In the longer term, this market could, in an optimistic scenario, reach 1000 stations in 2025 and 3000 stations in 2030. Toyota launched the Mirai car in March 2015, followed by Honda's Clarity in March 2016.

3. To support the emergence of a competitive future industry, Japanese industrial policy uses a variety of tools.

3.1. Support the development and acquisition of advanced equipment through grants and tax incentives. First of all, in terms of R & D, the Japanese government has set up various grant programs to finance the development of cutting-edge technologies for research projects (public and private) that may involve companies. Implemented at the level of the various competent ministries, these programs aim at supporting the development of technologies such as robotics, the processing and exploitation of big data, the autonomous vehicle, etc. The Cabinet Office has identified four strategic markets for these projects: health and the silver economy, energy, new generation infrastructure and tourism and the attractiveness of the regions (notably by strengthening their industrial fabric). On the industrial front, the Law for the Strengthening of Industrial Competitiveness, which entered into force on 20 January 2014, introduced tax incentives to encourage the acquisition of advanced equipment (eg 3D printers) by companies and for investments to modernize production lines (more than 120,000 grants granted in 2014).

3.2. Deregulate on a case-by-case basis to support business innovation. In response to "over-regulation" as a brake on Japan's competitiveness, Japan's Industrial Competitiveness Act introduced two regulatory simplification schemes for companies wishing to develop a new product or activity. With more than sixty applications granted since the launch of the measure in the spring of 2014, mainly to SMEs, this device that stands out for the simplicity of its operation meets a still measured success with companies.

3.3. Encourage restructuring in sectors where fragmentation and excess are seen as barriers to competitiveness. The law for the reinforcement of industrial competitiveness provides for this purpose various incentives both fiscal and financial to promote business restructuring operations, whether reorganizations within a group, mergers of subsidiaries of different groups or acquisitions pure and simple. As of April 1, 2016, a total of 32 transactions benefited from these measures, 27 of which involved intra-group restructurings. Under this law, the METI may conduct surveys on sectors in excess of supply and issue recommendations to the companies concerned. Two surveys were conducted on the petrochemicals and flat glass sectors, supplementing recommendation reports published by the METI elsewhere, for example on the steel sector in June 2015. The impact of these recommendations remains difficult. to be evaluated to the extent that restructuring companies do not all use the provisions of the law.