Softbank Corp. TSE:9434
Building for the AI Era: An Inside Look at SoftBank Corp.’s Next-generation AI Data Center in Hokkaido
Source: MarketScreener
Kagawa: As AI becomes more widespread, demand for computational data processing will increase significantly. Yet, in Japan, much of the digital infrastructure, including data centers, is concentrated in the Tokyo and Osaka metropolitan areas. AI data centers require enormous amounts of electricity. Continued concentration in the same metropolitan regions poses power supply challenges. Additionally, a large-scale disaster in Tokyo or Osaka could impact AI-related systems nationwide.
For AI to be fully implemented into society, we believe it's essential to decentralize both data centers and power supply to regional areas, enabling local production and consumption of data and electricity.
Hokkaido emerged as a strong candidate due to its cool climate, ideal for efficient cooling, its renewable energy potential, and its sufficient distance from Tokyo and Osaka to reduce disaster risks.
Among locations in Hokkaido, Tomakomai City offered consolidated industrial land suitable for large-scale development, with room for future expansion. It also experiences a relatively low snowfall compared to other areas in Hokkaido, reducing construction risks. Our ongoing dialogue with the local government, which responded positively, further reinforced our decision.