Huis Ten Bosch Wants Decision on Casino Project

Akihabara News (Tokyo) — President Kotaro Takamura of the Huis Ten Bosch theme park in Sasebo city, Nagasaki Prefecture, has requested that the central government come to a quick decision on whether or not to grant a license to the major casino resort project that could be built next door.

“Our business strategy would be completely different depending on whether or not it will be built,” he observed. He added that “Japan’s tourism industry is at a major turning point.”

Takamura has just been brought in to rejuvenate Huis Ten Bosch, a theme park based on traditional Dutch culture, after the coronavirus downturn. He expressed the view that the park needs to expand its attractions in order to retain its status as a major tourist draw in western Japan.

Takamura previously worked at Tokyo Disney Resort, where he had a key role in expanding DisneySea attractions.

Last September, Huis Ten Bosch was acquired by PAG, one of Asia’s largest investment companies, after a long period owned by the travel company H.I.S. The purchase price was around ¥100 billion (US$675 million).

Nagasaki Prefecture and the Casinos Austria consortium submitted their proposal to build a ¥438 billion (US$3 billion) casino resort in April 2022, but eighteen months later the central government has yet to decide on whether or not to license it. Tokyo is reportedly concerned that the project may lack the financing to deliver the Integrated Resort on the scale which has been promised.

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Osaka Casino Resort Implementation Agreement

Akihabara News (Tokyo) — Osaka Prefecture and Osaka City have agreed with the business consortium led by MGM Resorts International and the Orix Corporation to implement the project to build a major casino resort on Yumeshima island.

“This is a significant moment for our company as we officially close the certification process and begin to focus on executing our vision, in partnership with Orix, to build a world-class integrated resort in Osaka,” said Bill Hornbuckle, president and CEO of MGM Resorts. “We remain passionately committed to this project and look forward to bringing Japan and Osaka best-in-class gaming, entertainment, dining, and retail experiences. Our vision is to bring MGM’s ‘wow’ DNA from Las Vegas to Osaka and build a resort that will be a source of great pride in the community.”

The project has now established an English and Japanese language website called Osaka IR KK, naming Ed Bowers (MGM) and Toyonori Takahashi (Orix) as its joint representatives. “IR” refers to the term “Integrated Resort,” which is used by the industry to denote a large casino resort packed with many non-gambling entertainment options and other amenities.

The Ministry of Land, Infrastructure, Transport and Tourism appears set to give its final approval for construction to begin as well.

The current timeline calls for preparatory work such as installing water and electricity next summer, commencing construction of the main facility in the spring of 2025, and a grand opening to the public in the second half of 2030.

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More Delay for Osaka Casino Resort

Akihabara News (Tokyo) — The planned casino resort on Osaka’s manmade Yumeshima island, once targeted for an early 2025 opening, has now slipped back to an anticipated launch in late 2030. Moreover, the price tag for the initiative also continues to rise.

Osaka Governor Hirofumi Yoshimura explained that “as a result of various procedures, the opening will be delayed for another year.” He added that “we expect no further postponements.”

The local authorities also indicated that, due to rising construction costs, related to both materials and workforce, the initial investment to create the resort is now estimated at 1.27 trillion yen (US$8.6 billion), up significantly from the previous estimate of 1.08 trillion yen (US$7.3 billion).

The taxpayers of Osaka prefecture and city will be on the hook for approximately 25.7 billion yen (US$170 million) to decontaminate and reinforce the soil on the 492,000 square meter plot of land upon which the resort will be located.

The Osaka project is so far the only Integrated Resort (IR) which has been licensed by the central government. A final decision on Nagasaki Prefecture’s application is still pending.

MGM Resorts and the Orix Corporation are both 40% partners in the Yumeshima IR development, with smaller Japanese companies owning the remainder.

Construction is expected to begin around spring 2025.

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Hyogo Prefecture Launches New Flying Car Project

Akihabara News (Tokyo) — AirX, in partnership with Mizushima Aero & Space Industry Cluster Study Group (MASC) and CTI Engineering, has been selected by Hyogo Prefecture and Kobe city to receive a subsidy related to flying cars (eVTOLs).

This initiative, named the “Demonstration Project Utilizing Flying Cars in the Osaka Bay Area: Creating Aerial Tourism,” has the goal of positioning Hyogo and Kobe as trailblazers in “aerial tourism” through the utilization of eVTOLs. Its central focus lay in rigorous technical verification, encompassing critical aspects such as safety of operations, environmental impact assessments, and a thorough validation of tourism-related services.

The size of the public subsidy to be granted was not immediately revealed.

The region is moving quickly toward the social integration of eVTOLs, with the 2025 World Expo in Osaka serving as a prominent milestone.

AirX aims to play a pivotal role in this endeavor, specializing in the procurement and sales of next-generation aircraft, including eVTOLs. Their offerings extend to helicopter sightseeing and charter services, complemented by the development of sophisticated systems for reservation management and flight operations.

This collaboration aims to revolutionize transportation and tourism while addressing modern urban challenges, underscoring a commitment to pioneering innovations in air mobility.

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Terra Drone Takes Majority Stake in Unifly

Akihabara News (Tokyo) — Terra Drone has acquired a majority stake in Unifly, a global leader in unmanned traffic management (UTM) technology.

Toru Tokushige, founder and CEO of Terra Drone, explained that “from the beginning of the drone industry, Terra Drone saw the immense potential of UTM. Our recent decision to acquire the majority shares in Unifly is a testament to our commitment to deepen this relationship. Unifly is focused on strengthening this partnership by using their advanced technology and experience to improve the safe and efficient use of drones in key areas like surveying, inspections, logistics, security, and disaster response, among others. This partnership brings us a significant step closer to realizing our vision.”

Terra Drone’s journey with Unifly began in 2016 when it took the lead investment position in Unifly’s Series A funding round. This partnership backed by the Flemish government through an investment fund, and subsequently by agencies of the German and Belgian governments as well.

With its latest acquisition, Terra Drone’s ownership share in Unifly has surged to 51%, underscoring its commitment to Unifly’s strategic direction. This move aligns with Terra Drone’s larger goal of seamlessly integrating drone and unmanned aerial mobility operations globally, thereby contributing to the development of a robust aerial infrastructure.

Terra Drone’s early investment in Unifly recognized the critical role of that digital infrastructure would play in ensuring the safety and efficiency of drone operations. Unifly’s strong partnerships with European air navigation service providers further solidified its standing. Today it is employed in at least eight countries.

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Marubeni Links Up with Lift Aircraft

Akihabara News (Tokyo) — Marubeni Corporation, a leading Japanese trading company, has entered into a strategic partnership with Lift Aircraft.

Lift, which is headquartered in Austin, Texas, is developing the Hexa personal aerial vehicle. The partnership will involve joint initiatives in market research, regulatory negotiations, and the potential for preorders of up to a hundred aircraft, pending approval from the Japan Civil Aviation Bureau (JCAB).

In the United States, the one-seater Hexa is classified as an ultralight vehicle by the Federal Aviation Administration, which exempts it from the requirement for a pilot’s license.

Marubeni and Lift have previously orchestrated public flights of the Hexa in Japan, notably in front of Osaka Castle this March. These demonstrations took place in the absence of a specific regulatory framework for eVTOLs in Japan, but JCAB rigorously evaluated the aircraft’s safety, testing program, and flight capabilities before granting permission for the demonstrations.

Matt Chasen, CEO of Lift Aircraft, expressed his satisfaction with the partnership, stating, “We are thrilled to join forces with Marubeni Corporation, a distinguished leader in the global market, to realize the potential of this technology in Japan and throughout the world.”

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Protecting Your Brand in Japan

In the vibrant marketplace of Japan, every business faces a dual challenge: establishing a unique identity and ensuring its protection. The threat of brand imitation and infringement looms large. Your brand serves as an emblem of trust, quality, and commitment for your customers.

Given Japan’s blend of traditional values and modern innovations, the significance of brand protection becomes paramount for long-term success.

Intellectual property in Japan is more than a legal construct. It symbolizes the nation’s deep-rooted respect for creativity, innovation, and original thought. For global brands stepping into Japan’s dynamic market, understanding the foundations of intellectual property and the protection it offers is essential. In a culture that values authenticity and dedication, safeguarding intellectual property can set a brand apart.

Overview of Intellectual Property Rights

In the Land of the Rising Sun, intellectual property is the keystone of innovation. The foundation rests on four pillars:

Patents: These protect inventions—anything that brings a new twist to the table, offering a tangible solution.

Copyrights: Whether it’s a groundbreaking novel or a captivating jingle, original works enjoy automatic copyright protection from the moment of creation.

Trademarks: Symbols, logos, and even certain phrases can gain protection, ensuring your brand remains unmistakably yours.

Design Rights: The visual appeal of products, characterized by shape, pattern, or color, can be shielded from imitators.

Trademark Registration in Japan

Embarking on the journey of trademark registration in Japan is about anchoring your brand. The process is methodical:

Preliminary search: Ensure your mark is unique.

Application: Furnish the requisite details, ensuring accuracy.

Examination: The authorities scrutinize for any overlaps or issues.

Registration: Once cleared, your mark gets its rightful recognition. The gravitas of this registration reverberates beyond mere legality. It’s an emblem of your dedication to originality and quality in a market that values authenticity.

Addressing and Preventing Infringements

Vigilance isn’t paranoia—it’s prudence. In the vibrant, ever-evolving Japanese market, being alert is crucial.

Routine Monitoring: Regular scans for any unauthorized use of your intellectual assets keep you one step ahead.

Cease and Desist: A stern, yet professional, initial approach to alleged infringers often does the trick.

Legal Recourse: When diplomacy fails, the robust Japanese legal framework steps in, offering remedies and relief. Remember, it’s not about flexing muscles; it’s about preserving the integrity of the brand that you’ve poured your heart into.

In a country that honors its past while racing toward the future, the weight of authenticity is immeasurable.

Securing Your Online Address

The internet is vast, and in this expansive space a domain name is your brand’s distinct marker. It’s your digital home, the place where your audience finds you. When you enter the Japanese market, getting one of the Japan domains isn’t just an online tactic—it’s a declaration of intent. Choosing a .jp domain name tells your Japanese clientele that you respect and value their culture.

It offers an immediate sense of familiarity, a virtual nod to your audience that says, “We’re here for you.” But this decision goes beyond cultural alignment. There’s a practical aspect to it. With a .jp domain, you signal search engines and the digital world about your target demographic, boosting your visibility within Japan.

So, be sure to get a .jp domain registration and secure your brand’s digital address. It stands on a foundation of trust and reliability. In the grand chessboard of digital strategy, having a .jp domain name will shield your business against potential imitators and amplifies your brand’s resonance in the heart of Japan.

Adapting Brand Communication for Japan

Every global market comes with unique communication subtleties, and Japan is no exception. Mastering these nuances can profoundly influence brand perception. Effective communication in Japan transcends mere language—it envelops tone, approach, and medium.

For a brand to resonate in Japan, understanding the equilibrium between directness and subtlety is pivotal. Messaging should be clear without seeming aggressive and exude confidence without appearing arrogant. Striking this balance lets your brand establish a memorable presence.

Cultural Compatibility without Stereotyping

Being mindful of Japan’s cultural backdrop is essential, but it’s equally vital to avoid broad generalizations or simplifications. Brands should delve deeper than the surface, seeking a genuine comprehension of the desires and inspirations of the Japanese audience. Comprehensive market research, interactive focus groups, and continuous feedback mechanisms help keep your brand relevant and authentic. This balance between global standards and localized appreciation is key.

Building Collaborative Alliances

Successful branding in Japan often means tapping into the power of local partnerships. Forming alliances with local entities provides a pathway for deeper market penetration and showcases a dedication to mutual success.

Collaborations can range from tie-ups with local brands to joint ventures and co-branded marketing initiatives. Such strategic partnerships amplify brand credibility, painting a picture of unity and bolstering both trust and market visibility.

In conclusion, use these strategies to protect your brand in Japan. From protecting intellectual property rights to deploying a strong online identity, take all necessary steps to grow in a safe environment.

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Binance Crypto Exchange Relaunches in Japan

Akihabara News (Tokyo) — Binance, the world’s largest cryptocurrency exchange platform, relaunched services in Japan on August 1. It offers purchase and withdrawals of cryptocurrencies utilizing Japanese Yen, supporting the trade of 34 tokens, including most popular ones such as Bitcoin and Ethereum.

“Japan has had very clear regulations since 2017 with crypto exchange regulations, and more recently, this year, with its crypto listing framework,” explained Binance CEO Changpeng Zhao in an address last month. “Binance is extremely happy to be able to participate in the Japanese market again.”

Binance, which was originally based in China, had previously operated in Japan, but the Financial Services Agency ordered it to stop trading without a license in 2018.

Last November, Binance acquired Sakura Exchange BitCoin, a licensed local platform, and changed its name to Binance Japan.

On the other hand, Kraken and Coinbase, the two largest global cryptocurrency exchange platforms besides Binance, both halted their operations in Japan earlier this year.

Coinbase announced its withdrawal in January, explaining that “due to market conditions, our company has made the difficult decision to halt operations in Japan and to conduct a complete review of our business in the country.”

The decision by Binance to reenter Japan thus runs counter to the recent trend.

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JAL Chief Sees Flying Car Development as Urgent

Akihabara News (Tokyo) — Yuji Akasaka, president of Japan Airlines (JAL), regards the spread of eVTOL (flying car) services around the nation as an urgent task.

In an interview with national broadcaster NHK, Akasaka explained, “If you go to a rural area, there are many places that are difficult to reach by land, such as mountainous areas, remote islands, and detours.” He believes that eVTOL transportation has the potential to quickly expand throughout regions such as Hokkaido in the north and on remote islands near Kyushu and Okinawa in the south.

He adds that these services will likely encompass not only tourism and business use cases, but also employment for emergency relief during disasters.

In Akasaka’s view, Japan needs to move quickly to develop and utilize eVTOLs.

“Flying cars are no longer vehicles of the future,” he asserts.

But he also adds that “the most important thing is how to get society to accept them. The biggest factor in achieving that is to properly prove their safety. We have a lot of safety know-how which we have built up over many years.”

JAL has partnered for some time with Germany’s Volocopter within the Japanese market, and more recently it reached an agreement with Wisk Aero, presumably with an eye towards providing longer-distance eVTOL flights in Japan.

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Flying Car Hits Speed Bump in Nobeoka

Akihabara News (Tokyo) — A plan to conduct eVTOL (flying car) test flights in Nobeoka city, Miyazaki Prefecture, has become a point of contention between the mayor and the city council.

Nobeoka Mayor Yoji Yomiyama is enthusiastic about the plan to conduct test flights in his southern Japanese city, and his administration included the project in its supplementary budget requests for the current year. Unexpectedly, however, the assembly passed an amendment which removed the eVTOL funding.

The mayor objected, and an extraordinary council session was held on July 11 in which the eVTOL funding plan was rejected for a second time.

Councilman Mikio Kitabayashi, who is leading the opposition, explained his objection to the funding as follows: “There are too many unknown points. I began to question whether it was acceptable to work on this project without deliberating it over a longer period of time. I would like to have more in-depth discussions with the mayor so that the mayor’s administration and the city council can work together for the development of Nobeoka City.”

For his part, Mayor Yomiyama denounced the council’s actions as “regrettable and unexpected,” pointing out that about 95% of the cost of the flight test was going to be covered by national subsidies in any case, and that the delay puts some of these subsidies in jeopardy.

Last autumn, it was announced that Nobeoka had received a Digital Garden City subsidy from the central government to begin preparing a “flying ambulance” service to launch in 2025 that would utilize an eVTOL.

This confrontation over the eVTOL test budget appears to be part of a wider political division within Nobeoka city. The mayor has been elected twice with opposition party support, while the majority of the council are local politicians of the ruling Liberal Democratic Party.

Nobeoka city has a population over 110,000 people.

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Finalizing Plans for Osaka Casino Resort

Akihabara News (Tokyo) — With basic government approval now in hand, MGM Resorts, the Orix Corporation, and their smaller partners are entering the process of finalizing plans for the Osaka casino resort, expected to cost about US$10 billion to construct.

“The next milestones include finalization of agreements, finalizing the design, and then construction of the project,” explained Ed Bowers, president and chief executive of MGM Resorts Japan, at Global Gaming Expo Asia.

The estimated timeline for the opening of the Integrated Resort (IR) continues to creep a bit backward. At the May 2 earnings call, MGM President and CEO Bill Hornbuckle put it somewhere in the first half of the year 2030.

He added that the land lease agreement would likely be finalized in the very near future, and that breaking ground on the construction site will probably occur slightly before or after the end of this calendar year.

A month ago, the Resona Research Institute chipped in with its recommendations for the Osaka IR, calling for additional attractions such as an extra commercial facility, a theme park, and marine leisure facilities.

MGM’s current estimation is that the IR will drive ¥420 billion (US$3 billion) in annual casino-related revenues and about ¥100 billion (US$720 million) in annual revenues from attractions not directly related to gambling.

The Resona Research Institute reckons that these non-gambling annual revenues could be boosted to about ¥260 billion (US$1.9 billion).

It is not clear whether or not MGM has any intention of integrating Resona’s suggestions or is even seriously considering them.

MGM’s Online Casino Hiccup

Although they appear to have been decisively defeated at this point, with polls now showing local public support swinging behind the Osaka IR, opponents of the project have not abandoned their anti-casino campaign efforts.

Most recently, the Association for Considering Gambling Addiction Problems petitioned the Japan Tourism Agency to revoke permission for MGM to build the Osaka IR, citing its involvement in online gambling.

Neither side disputes the main facts. Last September, MGM acquired a majority stake in the Swedish online casino firm LeoVegas. Up until that point, LeoVegas was illegally allowing Japan residents to gamble on its site. Before completing the acquisition, MGM asked LeoVegas to block access to its site from within Japan.

MGM argues that the potential conflict was thus resolved before it started, while the citizens group argues that MGM should be held responsible for clarifying what happened to the revenues illegally gathered from Japan before it took over the company.

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Okada Manila Enters Legal Battle with Spurned US Partner

Akihabara News (Tokyo) — Battle lines have been drawn between Tokyo-based Universal Entertainment Corporation and Miami-based 26 Capital Acquisition Corporation over their October 2021 agreement which would have seen the Okada Manila casino resort listed on the Nasdaq stock market in New York.

The original agreement called for a merger between Universal’s main subsidiary in the Philippines–Tiger Resorts Asia–and 26 Capital Acquisition, a special purpose acquisition company, which would allow the casino resort to be listed on the Nasdaq. The enterprise value for Okada Manila was set at US$2.6 billion, and the agreement involved involved a cash injection of US$275 million.

The October 2021 press release noted that “the transaction is expected to close in the first half of 2022.”

However, this merger schedule was derailed in April 2022 when the Supreme Court of the Philippines ordered that the controversial former owner of both Universal Entertainment and Tiger Resorts, billionaire Kazuo Okada, be restored to the executive role which he had played before being removed under a cloud of scandal in 2017. From the end of May to early September 2022, agents of Okada temporarily seized control of the Okada Manila resort by force.

During that three-month occupation, 26 Capital Acquisition Chairman and CEO Jason Ader made a number of public statements which appeared to be fully supportive of Universal Entertainment.

After Universal Entertainment, backed by the Philippine National Police, seized back control of the casino resort in September, the way appeared to be clear for the agreed merger to proceed and for Okada Manila to gain its Nasdaq listing.

However, months ticked by with no forward movement, and confirmation that matters had gone awry became clear when 26 Capital Acquisition filed a lawsuit this February in the US state of Delaware against Universal Entertainment alleging that the Tokyo firm was unreasonably dragging its feet on consummating the planned merger.

That trial is scheduled to begin today.

Universal Entertainment had been quiet about its own position on its dispute with 26 Capital Acquisition, but that public silence ended dramatically at the end of June with a four-page statement announcing the termination of the October 2021 merger agreement. Universal Entertainment explained that it “came to consider that 26 Capital, during the course of the conclusion of the merger agreement and implementation of transactions under the merger agreement, made material breaches of the merger agreement and engaged in fraudulent misconduct through various misstatements and unauthorized disclosure of confidential information.”

Calabrese Consulting, an accounting firm which advises special purpose acquisition companies, was named as an organization which had allegedly been provided confidential information by 26 Capital Acquisition.

Universal Entertainment also complained that Ader “gave interviews to news outlets in late 2022” without gaining their advance consent, and that he had posted about the merger on his Twitter account.

They also alleged that Ader “pursued a campaign to push the merger to close at all costs, even in violation of US securities laws, because Mr. Jason Ader has extreme financial incentives to close the merger.”

26 Capital Acquisition responded with a short statement last Wednesday, arguing that it “believes that the termination notice is baseless. 26 Capital believes that Tiger Resorts and its affiliates have engaged in repeated contractual breaches to avoid closing, which is the subject of a pending Delaware litigation going to trial on July 10.”

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SkyDrive Flying Car Gains Weight

Akihabara News (Tokyo) — SkyDrive’s ambition to become Japan’s leading eVTOL (flying car) company gained additional weight with a flurry of important new partnerships and a crucial design change.

When it was announced over a year ago that SkyDrive was linking up with storied auto and motorcycle maker Suzuki Motor Corporation on technology research and development, manufacturing plans, and mass-production systems, it already sounded quite promising, though few details were provided.

This week it was revealed that SkyDrive would be establishing a wholly-owned manufacturing subsidiary firm which would utilize a Suzuki facility in Shizuoka Prefecture to mass produce its first line of eVTOL aircraft.

At the same time, it was revealed that the SkyDrive eVTOL is gaining size and weight over the original SD-05 design, and becoming a three-seater (not a two-seater) with a longer flight range.

In fact, the entire configuration has altered to some degree. The company appears to be dropping the designation “SD-05” altogether in favor of an eVTOL aircraft which will be branded simply as “SkyDrive.”

This new design is about 40% larger than the original SD-05 specifications, with about double the anticipated flight range at 15 kilometers. The extra seat will allow a pilot to transport two passengers to their objective, making the vehicle more practical for consumer taxi services.

Mass production of the SkyDrive eVTOL is now expected to begin next spring.

In the initial announcement of the SkyDrive-Suzuki partnership last year, it was stated that India would become the “initial focus” for the aircraft, but the new statements make no reference to this earlier notion.

Thales to Provide Flight Control System

Also announced this week is that the French firm Thales has been tapped to provide the flight control system for the SkyDrive eVTOL.

Arnaud Coville, SkyDrive’s chief development officer, explained that “Thales’s flight controls have long been trusted in the aviation industry. As an eVTOL manufacturer, SkyDrive values safety above all, and we believe that partnering with Thales in flight control, which is a key safety-related technology, will enable us to achieve the safety objectives of our aircraft.”

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Nidec to Build Flying Car Engines

Akihabara News (Tokyo) — Japan’s eVTOL (flying car) industry gained serious firepower this week as it was revealed that the Nidec Corporation, the nation’s leading engine specialist, will start building eVTOL propulsion systems.

Nidec is setting up a subsidiary in the United States that will be named Nidec Aerospace. The Kyoto-based firm is taking a 51% stake in this subsidiary, with Brazil’s regional jet manufacturer Embraer becoming the minority partner.

Embraer, through its own subsidiary Eve Air Mobility, is developing its own original eVTOL model, and it is now planned that Eve will become the first customer for the engines produced by the Nidec Aerospace joint venture.

Nidec Aerospace will have its headquarters in St. Louis, Missouri, and production facilities for the electric engines in Mexico and Brazil.

The financial terms of the deal were not disclosed.

“The joint venture is a natural extension of both companies’ respective and continual investments in green technologies across multiple industries to accelerate global carbon neutrality,” commented Nidec Senior Vice President and President of the Motion & Energy Business Unit Michael Briggs. “We are proud to be partnered with Embraer, and are confident that Nidec Aerospace will spearhead the electrification of aircraft with our shared drive, complementary expertise, and wide breadth of technical and manufacturing capabilities.”

Nidec’s legendary Chairman and CEO Shigenobu Nagamori noted at this week’s annual meeting that for the venture to succeed “certification is the most important thing,” pointing to the fact that no eVTOL has yet been authorized to take to the skies and to transport passengers.

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Toyota Falling Off a Cliff

Akihabara News (Tokyo) — The Ministry of Economy, Trade and Industry (METI) announced last week that Toyota Motor Corporation would be receiving a special taxpayer subsidy of about ¥118 billion (US$840 million) to develop cutting-edge electric vehicle (EV) batteries. It was a tacit admission of an enormous strategic misstep.

“I hope large-scale investments by Toyota and others will significantly strengthen our country’s battery supply chain,” stated METI Minister Yasutoshi Nishimura.

Soft-pedaled by the Japanese media was the obvious question–why should the world’s largest automaker, which possesses enormous resources, need to dip into the public purse for battery development at all?

The answer is that Toyota has spent long years dismissing the idea that EVs should or would become the main technology of the future. They largely squandered their lead in the past decades, scoffing at Tesla and other rising EV challengers.

Akio Toyoda, in particular, has long been adamant that hybrid internal combustion engines still have decades of dominance ahead of them, that hydrogen fuel cell vehicles have more potential, and that the EV evangelists are misguided.

But in last week’s annual meeting, all the headlines were about Toyota initiatives to develop and sell new lines of EVs. Toyota’s own shareholders have become restive about its EV skepticism, and some are even demanding more information about how the company has been lobbying around the world against government measures to address the climate crisis.

Abetted by a Japanese news media which is loathe to take on a national industrial champion–probably a key source of advertising revenues for most of them as well–Toyota looks like it is now trying to shift its long-held stance without being called out within Japan over its epic miscalculation.

But it is already too late. Chinese EV-makers such as BYD, SAIC, Geely, Nio, and XPeng are poised to become for global markets what Toyota itself was in the 1970s; the cheap, consumer-friendly, environmentally-responsible alternative which reshapes the automotive industry, making most of the older players look obsolete and out-of-touch.

EV charging stations and other infrastructure is becoming more robust in many nations. Countries are not building out fuel cell vehicle infrastructure on anything like the same scale.

Toyota will, of course, get a slice of the EV pie. In the current climate, it may also receive some benefits by playing on Sinophobic political forces. But as in almost every other industry, in automobiles as well there’s little reason to believe that Japan will continue to function as a top leader, but only as a niche middling power.

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SLT Aims to Produce Six-Seater Flying Car

Akihabara News (Tokyo) — Sky Link Technologies (SLT), a small private company based in Kobe, has emerged as another Japanese company aiming to develop its own original model of flying cars (eVTOL), in this case a six-seater aircraft.

While it is difficult to gauge at this juncture how seriously this initiative should be taken, this company is being promoted in conjunction with the 2025 World Expo in neighboring Osaka, perhaps with an eye toward attracting significant investment and other financial support for the project.

SLT’s ambitious concept is to build a tilt-wing lift and cruise aircraft which will have a flight range of about 1,400 kilometers. While the precise nature of its planned propulsion system has not been clarified, company leaders have mentioned a “micro gas turbine rotor.”

The company website further explains: “we prioritize environmental considerations by enabling the use of sustainable aviation fuel (SAF) and plan to swiftly transition to fully electric operations once battery performance has improved sufficiently.”

According to the published timeline, the SLT aircraft will not be ready for the market until the 2030s.

The project’s roots go back to 2016 and the formation of a volunteer group called Personal Plane Kaihatsu Project (PPKP) which released some early concept images. A business license was obtained in 2019 and development became more earnest.

SLT is only now beginning to receive significant attention from the local media in the Kansai region. A feature story broadcast this week on Osaka television, for example, profiled SLT’s tests of a 1/6 scale model, focusing on the challenge of achieving flight stability during takeoff and landing.

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Apple’s Unaffordable Virtual Reality Headset

Akihabara News (Tokyo) — Apple has unveiled its Vision Pro, an advanced Mixed Reality headset. But it comes with a stunningly expensive price tag, putting it out of reach for most general consumers.

Mixed Reality is a kind of Augmented Reality in which the viewer can interact with digital elements of the display.

In recent years, Apple has been planning to capture a leading position in this technology.

Apple has a tendency to release a “pro” version of a new product—targeting professional users first—and later follow up with cheaper consumer versions. This was done, for example, with the Pro Display XDR, an advanced computer screen product which was introduced at the US$4,999 price tag and later made available in less expensive versions.

This appears to be the strategy employed this time as well. Indeed, the fact that Apple named its headset “Vision Pro” implies that there will be a “non-pro” version in the future.

The Vision Pro features a high-resolution micro-OLED display system, advanced audio technology, and two computer chips to support its built-in visionOS system. The headset is also packed with twelve cameras, two sensors, and six microphones to assist user interaction.

According to the company’s demonstration, users are able to control the headset with hand gestures, putting it ahead of its competitors for which remote controllers are required.

The Vision Pro is being launched with a basic price of US$3,499, which compared to its current competitors is strikingly expensive. The price of the popular Virtual Reality headsets on the market today runs only to about US$1,200 in the case of the top-of-the-line HTC Vive Pro 2.

The new Apple headset is expected to begin shipping to customers early next year.

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Island Hopping Flying Car Over Okinawa Prefecture

Akihabara News (Tokyo) — China’s EHang successfully conducted on June 9 what it called “Japan’s first island-hopping flights of an autonomous eVTOL.”

The flight test saw an EHang 216 flying car (eVTOL) travel about two kilometers between Iheya Island and Noho Island, Okinawa Prefecture. These are small, remote islands north of the main island of Okinawa, connected to each other by a narrow land bridge.

EHang’s partners for the Okinawa demonstration were four Japanese firms–Airport Facilities Co., AirX, CTI Engineering, and Japan Airport Consultants.

“It does not require a large landing facility like a helicopter, and it would be a revolution in air transportation. I would like to promote the innovation of aerial tourism in the near future,” commented Takeya Hirano, general manager of the planning and development department of Japan Airport Consultants.

While there are reasons to doubt that the EH216 will become a leading eVTOL model for Japan’s future air taxi business, it has indisputably jumped out into the lead in terms of practical flight tests in the skies over Japan.

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Osaka Police Raid Amusement Casinos

Akihabara News (Tokyo) — Osaka Prefectural Police conducted a simultaneous raid on over twenty amusement casinos yesterday, suspecting that illegal gambling could be taking place at some of these establishments.

The raids took place in Minami, Osaka, where poker and roulette are enjoyed by patrons without betting money on the outcome of the games.

After the police conducted the surprise inspections, which discovered no major infractions, the officers emphasized to the store managers that it is also illegal to offer prizes to the winners.

The police are alarmed that amusement casinos can become fronts for real gambling after arrests were conducted last week. It was discovered that the NPO Japan Poker Association, which has an official mission of promoting poker as an amusement, may have allowed actual illegal gambling in some cases.

Over twenty people were arrested in that incident, including the NPO’s directors. However, most of the suspects–those who were the possible patrons–were held for only a short time and may not face any charges.

Amusement Casino Boom

Amusement casinos have experienced a boom across Japan since the enactment of the IR Implementation Act in 2018. Outlets can now be found in most urban entertainment districts.

The element which keeps facilities safely within the scope of the entertainment law is that the chips won by patrons cannot be redeemed for cash or prizes, other than to continue playing the games themselves. However, police are concerned that in order to maintain long-term customers, some of these entertainment casinos may sometimes cross the legal line.

These establishments routinely focus on educating Japanese about the rules of playing poker and other card games.

They also attempt to attract customers with the provision of alcoholic drinks, and some of them allow smoking. Other outlets feature female dealers dressed as maids.

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Japan Recommits to the Hydrogen Society

Akihabara (Tokyo) — The Japanese government is doubling down on its commitment to hydrogen energy in spite of the many questions which linger over its ability to meet the nation’s climate goals.

“Hydrogen is an industry which can simultaneously provide achievements in decarbonization, the securing of stable energy supplies, and the advancement of economic growth,” declared Chief Cabinet Secretary Hirokazu Matsuno at yesterday’s Cabinet meeting.

For this purpose, the Kishida administration revised its Basic Hydrogen Strategy. Among other things, the government aims to see Japan’s hydrogen fuel consumption expand by over six times in the coming decades.

It also pledged ¥15 trillion (US$108 billion) of public-private funding to hydrogen supply chains over the next fifteen years.

Not all observers believe that hydrogen should be such a central focus of Japan’s decarbonization strategy.

While hydrogen fuel produces only water when it is combusted, the process of making and transporting the hydrogen itself can involve large-scale carbon emissions.

Green hydrogen–which produces the fuel without contributing to the climate crisis–does exist, but it represents only a tiny fraction of current hydrogen fuel production, and its growth is expected to be slow.

Many suspect that the Japanese government’s continuing attraction to its vision of a “hydrogen society” mainly derives from the influence of big business over policymaking. Large corporations stand to gain considerable profits whether or not the hydrogen industry significantly contributes to overall decarbonization.

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