The Sun Rises Again: The New Opportunities for Founders and Investors Entering Japan

Written by
Jon Rezneck

To startup founders and investors everywhere, we at Geodesic believe that Japan is now emerging after a long hibernation and is poised to become a bright spot, both as a market for digital transformation and as its own dynamic venture capital and entrepreneurial ecosystem. A number of developments over the last few years have pushed Japan forcefully in the direction of true digital transformation, a movement that we believe will unfold over the next decade.

Why is this time different and why should you care?

In short, Japan is now painfully aware of how much farther it has to go, the government is providing a large and broad push, and psychologically, the need for Digital Transformation (“DX”), especially AI and the data building blocks needed to implement it, has penetrated the broad consciousness.


  • Of course, Japan isn’t likely going to catch up to Silicon Valley, but that’s unnecessary for Japan to be successful.
  • Japan is awake and determined at all levels to transform itself (and those are the times historically never to bet against Japan).
  • What we believe is coming:
    • a) a stronger domestic economy driven by digital transformation, as there is a LOT of low-hanging fruit
    • b) a much more robust domestic venture capital and entrepreneurial ecosystem, with Japan again taking its rightful place in the entrepreneurial and innovation worlds

The Opportunity

Now is the time to consider Japan. The opportunity is immense for those parties who seize it. For startups, Japan is a large, sophisticated, wealthy market representing significant revenues for those companies intrepid and patient enough to enter. And Japan is a dynamic source of innovation that is capable of producing highly competitive, global champions (and returns) for those investors willing and able to add value.

To founders, especially those at enterprise software companies, but also in deep tech, robotics, climate tech, and other sectors, our message is: go to Japan. The market there needs and wants your solutions (and Geodesic can help).

To investors, our message is: it’s time to pay attention to Japan again as a source of innovation and startups. Japan is awake.

We built Geodesic Capital as a bridge between Silicon Valley and Japan. We are here to help, whether you’re a startup looking to expand into Japan or a Japanese startup that wants someone to truly help it go global and win in overseas markets.