The Tokyo-based AI chip startup EdgeCortix, along with other major tech firms, is shifting
focus toward defense technology. This move aims to bolster Japan’s semiconductor industry with innovations tailored for military use.
EdgeCortix has secured a contract linked to the U.S. Department of Defense and received $21 million in government subsidies to develop energy-efficient AI chiplets. These chiplets are expected to reach the market by 2027.
Founder Sakyasingha Dasgupta told Bloomberg that the contract could more than double the company’s revenue this year.
Designed to help robots make rapid decisions, the chiplets also address Japan’s labor shortages. They will be manufactured in large quantities at TSMC’s plant in Japan. This production will receive additional government support, beyond the $27 million already granted for developing next-generation communication chips.
Support from an agency backed by Japan’s Economy Ministry reflects a growing interest in dual-use technologies. Companies like Mitsubishi Electric and startups such as Terra Labo are building satellite constellations to assist in missile tracking, forming part of the Defense Ministry’s expansion efforts. Japan’s defense forces are also turning to AI to enhance their surveillance capabilities.
So far, EdgeCortix has raised about $37 million in funding. The company is developing chiplets with a programmable architecture that allows robots to process data locally. Dasgupta explained that this local processing saves power and reduces the need for costly data transfers, especially in specialized fields like healthcare.
“Our energy-efficient AI technologies can be applied to systems on the ground, in the air, and even in space,” Dasgupta said in his interview with Bloomberg.
“This supports the advancement of edge AI solutions that are vital for both national and global security.”
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