Japan-US Security Fund Starts – CEO of Fund Investor NEC Says It “Will Accelerate Joint Development”

This article originally appeared in Japanese on Nikkei

Geodesic Alliance Fund, a venture capital (VC) firm that invests in the security technology sector, held a press conference in Tokyo on August 1.

NEC President and CEO Takayuki Morita, who appeared on stage as a representative of the investing companies, expressed his hopes for collaboration with emerging American tech companies, saying, “We want to further accelerate joint Japan-U.S. technological development.”

The fund was founded in June by John Roos, former United States Ambassador to Japan. It will invest in early-stage US startups, primarily in dual-use technologies such as artificial intelligence (AI), space, and cybersecurity.

[Geodesic] connects Japanese investors such as NEC and the Japan Bank for International Cooperation (JBIC) with investee companies, encouraging joint development and collaboration. The fund has already raised $250 million (approximately 38 billion yen) and will announce its first investee within the year.

Regarding [NEC’s] investment in the fund, Morita said, “The security field is an important pillar for NEC,” and explained that “the foundation has been laid between Japan and the United States for the joint development of important security-related technologies,” including the establishment of laws for security clearance (qualification evaluation). He expressed his interest in collaboration, saying that “the importance of incorporating startup technology is increasing” in the digital and cyber fields.

John Roos worked at a Silicon Valley law firm before serving as U.S. Ambassador to Japan from 2009 to 2013. Said Roos: “Since meeting with Takayuki Morita two years ago, we have been drawing up a strategy for an unprecedented Japan-US collaborative fund,” and indicated his intention to continue recruiting companies to invest in the fund.