Top 100 Japan Startups to Watch in 2026
Japan's startup environment is defined by its focus on deep technology and mobility. Companies are developing solutions in fields from autonomous vehicles to quantum computing.
Automotive software firm Tier IV has raised $457.8M to develop its technology. Newer entrants like Sakana AI, founded in 2023, have also attracted large investments for generative AI.
Below is our list of 100 Japan startups worth keeping an eye on.
Failory's Top 10 Picks
Crunchyroll built the world's largest streaming destination for Japanese anime, manga, and dorama. Their subscription service offers a vast collection of content, connecting millions of fans with their favorite Asian media.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2008 |
| Founders | Brandon Ooi |
| Funding Amount | $26.8M |
| Startup Size | Mid-Size Team (51-250) |
| Last Funding Status | Venture Round |
| Top Investors | Venrock, TV Tokyo, James Hong, Otter Media, Yee Lee |
Tier IV develops open-source software for autonomous driving, creating the widely adopted Autoware platform. They provide a full suite of solutions and services to help partners build and deploy intelligent vehicles.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2015 |
| Founders | Shinpei Kato |
| Funding Amount | $457.8M |
| Startup Size | Large Team (251-1,000) |
| Last Funding Status | Debt Financing |
| Top Investors | Mitsubishi Corporation, Sony Innovation Fund, UTEC - The University of Tokyo Edge Capital Partners, JAFCO, KDDI |
PayPay operates a digital platform that simplifies mobile payments and online transactions through a single smartphone app. The service is designed to provide a seamless cashless experience, making it a popular choice for consumers and merchants.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2018 |
| Founders | — |
| Funding Amount | ¥53.5B |
| Startup Size | Major Organization (1,001-5,000) |
| Last Funding Status | Venture Round |
| Top Investors | SoftBank, Mizuho Capital, SoftBank Group, Mobile Internet Capital, Venture Labo Investment |
T2 develops and operates autonomous driving systems for highway transport trucks. Their technology is built to make long-haul shipping safer and more efficient, addressing key needs in the logistics industry.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2022 |
| Founders | Shigeki Morimoto |
| Funding Amount | ¥10.5B |
| Startup Size | Mid-Size Team (51-250) |
| Last Funding Status | Series B |
| Top Investors | Energy & Environment Investment, KDDI, Mitsubishi Estate, Suzuyo, Sumitomo Mitsui Trust Bank |
Kyoto Fusioneering develops the specialized technology required to make commercial fusion energy a reality. They engineer and manufacture critical plant systems, including unique solutions for plasma heating and tritium fuel cycles.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2019 |
| Founders | Konishi Satoshi, Richard Pearson, Shutato Takeda, Taka Nagao |
| Funding Amount | ¥22.3B |
| Startup Size | Mid-Size Team (51-250) |
| Last Funding Status | Debt Financing |
| Top Investors | MUFG Bank, Global Brain Corporation, SMBC Venture Capital, Mitsubishi UFJ Capital, Coral Capital |
Drawing inspiration from the collective intelligence of nature, Sakana AI develops novel generative AI models. These foundational models are capable of generating a wide range of multimedia content, including text, images, video, and code.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2023 |
| Founders | David Ha, Llion Jones, Ren Ito |
| Funding Amount | $100M |
| Startup Size | Lean Team (11-50) |
| Last Funding Status | Series A |
| Top Investors | 500 Global, NVIDIA, Khosla Ventures, New Enterprise Associates, Lux Capital |
Thirdverse develops and operates multiplayer virtual reality games, blending immersive gameplay with Web3 technology. The game studio is focused on creating new virtual worlds where players can connect and explore.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2020 |
| Founders | Hironao Kunimitsu, Masaru Ohnogi, Satoshi Ban, Takafumi Inagawa |
| Funding Amount | $48.6M |
| Startup Size | Mid-Size Team (51-250) |
| Last Funding Status | Venture Round |
| Top Investors | World Innovation Lab, Mitsubishi UFJ Capital, Mizuho Capital, Animoca Brands, Nissay Capital |
FromSoftware develops critically acclaimed action role-playing games for major console and PC platforms. The Japanese studio is celebrated for creating immersive worlds and notoriously difficult gameplay that has defined a subgenre of its own.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 1986 |
| Founders | Naotoshi Zin |
| Funding Amount | ¥36.4B |
| Startup Size | Large Team (251-1,000) |
| Last Funding Status | Secondary Market |
| Top Investors | Sony Interactive Entertainment, Sixjoy |
SkyDrive develops and manufactures both flying cars for personal transport and heavy-lift drones for logistics. Their goal is to make air mobility a practical and accessible part of everyday life and commerce.
| Headquarters | Toyota, Aichi, Japan |
| Year Founded | 2018 |
| Founders | Matsumoto Hisashi, Tomohiro Fukuzawa |
| Funding Amount | ¥26.4B |
| Startup Size | Mid-Size Team (51-250) |
| Last Funding Status | Series D |
| Top Investors | MUFG Bank, ITOCHU Technology Ventures, NEC Corporation, Mizuho Bank, Energy & Environment Investment |
Nanofiber Quantum Technologies develops and manufactures hardware for quantum communications. Their research centers on using optical nanofibers to build the quantum memories and interfaces that power these networks.
| Headquarters | Tokyo, Tokyo, Japan |
| Year Founded | 2022 |
| Founders | Masashi Hirose |
| Funding Amount | $24M |
| Startup Size | Lean Team (11-50) |
| Last Funding Status | Series A |
| Top Investors | Keio Innovation Initiative, Brevan Howard Asset Management, Phoenix Venture Partners, JAFCO, SPARX Group |
90 Additional Japan Startups Worth Following
Our top picks offer a small window into Japan's growing startup scene. New companies are appearing in many sectors, with a clear focus on AI and advanced manufacturing.
Together, they've brought in more than $10 billion in funding, a mix of early-stage rounds and major growth investments. Below are the other companies that are defining Japan's startup ecosystem.
| Startup | Industry | Year Founded | Amount Raised | Last Funding Round |
|---|---|---|---|---|
 Josys | Enterprise | 2022 | $218.2M | Debt Financing |
 Edgecortix | AI | 2019 | $61.5M | Series B |
 Eagle Eye Networks | Analytics | 2018 | $195M | Series F |
 Alpaca | Infrastructure | 2015 | $138.8M | Series C |
 CADDi | AI | 2017 | ¥30B | Debt Financing |
 EF Polymer | AgTech | 2018 | $11.5M | Series B |
 Telexistence | AI | 2017 | $197.4M | Series B |
 PancakeSwap | Crypto | 2020 | $4M | Initial Coin Offering |
 KKday | Retail | 2014 | $197M | Venture Round |
 FLUX | Marketing | 2018 | ¥10B | Series B |
 SmartNews | Media | 2012 | $410.3M | Series F |
 APTO | AI | 2020 | ¥120M | Series A |
 LegalOn Technologies | AI | 2017 | $195.2M | Series E |
 AESC | Mobility | 2007 | $1.4B | Grant |
 JPYC | Crypto | 2019 | $19.4M | Venture Round |
 Tenchijin | Mobility | 2019 | $8.3M | Series B |
 KG Motors | Mobility | 2018 | ¥1.8B | Series A |
 Zen Intelligence | Analytics | 2020 | ¥1.8B | Series A |
 Orca | Crypto | 2021 | $18M | Series A |
 ElevationSpace | Manufacturing | 2021 | ¥2.8B | Series B |
 Rakuten Securities | Fintech | 1999 | ¥80B | Secondary Market |
 Notta | AI | 2020 | ¥990M | Series A |
 LocationMind | Hardware | 2019 | ¥5.4B | Debt Financing |
 Rapidus | Hardware | 2022 | ¥308.3B | Corporate Round |
 Integriculture | AgTech | 2015 | $17.2M | Venture Round |
 Gojo & Company | Fintech | 2014 | $428.5M | Series F |
 TechMagic | AI | 2018 | $34.8M | Series C |
 Alxtal | AI | 2019 | ¥720M | Venture Round |
 Treasury | Enterprise | 1996 | ¥500M | Corporate Round |
 Preferred Networks | AI | 2014 | ¥44.6B | Debt Financing |
 Timetree | Media | 2014 | ¥6.5B | Corporate Round |
 Spiber | Manufacturing | 2007 | $976.1M | Private Equity |
 Ubie | AI | 2017 | $125M | Debt Financing |
 FerroptoCure | Healthcare | 2022 | ¥460M | Series A |
 Fermelanta | Biotech | 2022 | $15M | Series A |
 Spider Labs | Security | 2011 | ¥935M | Series B |
 Health2Sync | Media | 2013 | $30.5M | Series C |
 Global Mobility Service | Fintech | 2013 | ¥3.8B | — |
 Standard Capital | AI | 2018 | ¥3.3B | Seed |
 iYell | Marketing | 2016 | ¥6B | Series E |
 Goals | AI | 2018 | ¥2.9B | Series B |
 Flora | AI | 2020 | $2.1M | Grant |
 Diggle | Fintech | 2016 | ¥2.4B | Series B |
 Wada FoodTech | AI | 2018 | $10.3M | Seed |
 TradeWaltz | SaaS | 2020 | ¥2.7B | Corporate Round |
 ATOMica | Media | 2019 | ¥830M | Series B |
 Sun Asterisk | Media | 2013 | ¥2.1B | Debt Financing |
 Respo | Other | 2021 | ¥120M | Seed |
 Uhuru | Cloud | 2006 | ¥4.8B | Corporate Round |
 OYO LIFE | Retail | 2018 | $3B | Undisclosed |
 Net Protections | Fintech | 2000 | ¥7.3B | Corporate Round |
 Finatext | Analytics | 2018 | $67M | Series C |
 Zeteoh | Manufacturing | 2020 | $600k | Convertible Note |
 ADiXi | AI | 2022 | — | Debt Financing |
 Energy Grid Corporation | Enterprise | 2021 | ¥6.6B | Debt Financing |
 Wunderbar | Marketing | 2019 | ¥650M | Series A |
 BionicM | Manufacturing | 2018 | $11M | Venture Round |
 Lazuli | Analytics | 2020 | ¥1.6B | Series B |
 10x | Media | 2017 | ¥2.7B | Venture Round |
 Instalimb | Manufacturing | 2018 | ¥679M | Series B |
 YAMAP | Hardware | 2013 | $25.7M | Series D |
 Inagora | Retail | 2016 | $162.6M | Corporate Round |
 ARAYA | AI | 2013 | ¥1B | Series B |
 FIXER | AI | 2009 | ¥1.2B | Series A |
 Douzo | Marketing | 2019 | ¥100M | Seed |
 TakeMe | Enterprise | 2015 | ¥2.7B | Venture Round |
 WealthPark | Crypto | 2018 | ¥5.8B | Series C |
 Every | Media | 2015 | ¥8.2B | Corporate Round |
 Satori | Marketing | 2015 | ¥1.3B | Venture Round |
 Kaizen Platform | Marketing | 2017 | $30M | Corporate Round |
 OPTIMIND | Enterprise | 2015 | ¥1.1B | Series B |
 Levechy | Fintech | 2012 | ¥3.9B | Debt Financing |
 Coconala | Retail | 2012 | ¥2.5B | Venture Round |
 AvanStrate Inc. | Media | 1991 | ¥12.2B | Corporate Round |
 bgrass | Education | 2022 | ¥210.5M | Seed |
 Tokyo Artisan Intelligence | AI | 2020 | ¥1.6B | Series B |
 Nuwacell | Healthcare | 2016 | CN¥385M | Series B |
 FactBase | Enterprise | 2022 | ¥2.4B | Series B |
 Oxide | Manufacturing | 2000 | $210.3M | Venture Round |
 CraftBank | Manufacturing | 2021 | ¥2.8B | Series A |
 SHE | Education | 2019 | ¥2.2B | Series C |
 PlaceHolder | Design | 2016 | ¥1.3B | Series C |
 Tekoma Energy | Energy | 2013 | $50M | Private Equity |
 ALE | Mobility | 2011 | $48.1M | Series A |
 toggle | AI | 2020 | ¥3.3B | Series B |
 Enechange | Energy | 2015 | $19.1M | Series B |
 SocialGood App | Media | 2018 | $14.2M | Series A |
 HRBrain | Enterprise | 2016 | ¥2.6B | Venture Round |
 QUADRAC | Manufacturing | 2009 | ¥4.6B | Series C |
 TrustHub | Retail | 2019 | ¥2.1B | Debt Financing |
