Rakuten unveils GenAI service for Japanese market

Rakuten Mobile introduces a new business-focused generative AI service tailored for Japanese corporate customers, while revealing that only 16% of Japanese SMEs currently utilize AI technology.

Key features of the new platform: Rakuten AI for Business delivers document creation, translation, brainstorming, analysis, and research capabilities through a chat interface specifically optimized for Japanese business culture and regulations.

• The service offers immediate browser-based access on PCs and smartphones without requiring system setup
• Users can manage confidential information by blocking restricted words from being sent to the AI model
• The platform includes customizable prompt templates and a Retrieval-Augmented Generation function for accessing internal documents
• A utilization dashboard allows companies to monitor employee usage patterns

Technical implementation: The service combines Rakuten’s proprietary large language models (LLMs) with third-party solutions, including technology from OpenAI.

• The platform operates in a secure environment where user input is not used for AI model training without explicit permission
• Rakuten Mobile provides personalized corporate training and optional consulting services
• The company leverages AI implementation experience from across the broader Rakuten Group

Market research insights: A commissioned survey of 300 Japanese SME business owners reveals current AI adoption patterns and barriers to entry.

• The service industry leads AI adoption at 21% among Japanese SMEs
• Popular AI applications include copywriting (43%), process automation (30%), and translation (23%)
• 40% of non-users report difficulty identifying AI’s potential benefits
• Rising wages and inflation are creating pressure for SMEs to adopt efficiency-enhancing technologies

Industry context: Deutsche Telekom has also expanded its AI offerings, providing customers free access to Perplexity Pro through its loyalty program.

• The German telecom giant is promoting AI accessibility through a new advertising campaign
• Perplexity differentiates itself by providing direct answers to complex questions in natural language
• The initiative reflects a broader industry trend of telecom operators integrating AI services into their offerings

Market potential and strategic implications: The low current adoption rate of AI among Japanese SMEs suggests significant growth opportunities, while highlighting the need for education and support services.

• The focus on Japanese business customs and regulations addresses a specific market need
• Rakuten’s approach of combining AI tools with training and consulting services could help overcome adoption barriers
• The move positions Rakuten to capture market share as AI adoption accelerates among Japanese businesses