Tokyo Metropolitan GovernmentGlobal Innovation with STARTUPS
CONTENTS
Toward a Tokyo where challengers are born, grow, and meet their potential.

P. 3

Executive Summary

P. 4Startups and Tokyo Today

P. 7

The Tokyo strategy focused on the world

P.13

Startup strategy to “support challengers”

P.19

I

2

Making Tokyo the world’s most startup-friendly city

P.21

II Creating a place where everyone can achieve their dreams

P.35

III “One-team” strong support from all stakeholders

P.43

IV Strategic PR for the world

P.51

Develop initiatives that promote startups in waves

P.57

Toward a Tokyo where challengers areborn, grow, and meet their potential.
In every era, challengers stand at the mantle of change.
Be it in the arts, community, sports, or academia, they are the ones who transform society.
They advance society, using creativity to disrupt convention,
giving way to new ideas and bold progress.
Without them, society loses its vitality.
Startups are the challengers in business,
generating revolutionary ideas and services with innovative technologies.
Startups are great contributors to cities,
taking on social problems, creating jobs and revitalizing the economy.

We, Tokyo, want to become their arena.
Supporting startups from all over the world to take stage, and homegrown talent to flourish.
We, Tokyo, want to become their safety net.
Raising startups to challenge again and again, even in the face of failure.
Tokyo: a city at the forefront. Where challengers are born, grow, and meet their potential.
November 2022 Team Tokyo Innovation
3

Global Innovation with STARTUPS〇 Startups and Tokyo today

Executive Summary

Table A: Global Startup Ecosystem Rankings

2022

・Startups have been driving global change and growth, and their innovation
has contributed to solving social issues.

1

Silicon Valley

・Around the world, various stakeholders in each region are collaboratively
creating startup ecosystems. (Table A)

2

New York

2

London4

Boston5

Beijing

・On the other hand, the number of startups in Japan is 120 times less thanthe US; Japan has fallen to fourth place in the Asian rankings, and the gap
in speed of growth is widening. In addition, there is a significant differencein the drive for change and social momentum to support such change.

(Asia: 8th Shanghai, 10th Seoul)

12

Tokyo

Graph B: Questionnaire to 18-year-olds"I think I can change society(%) through my actions."
80

60
40
20
0

⇒Therefore, this time, TMG is announcing a new startup strategy with the aim of sharing a view onwhat we need to do with stakeholders and indicating a broad direction with specific initiatives.

Develop a next-level startup strategy
to shine on the world stage once more

Global × 10

Social andeconomic
growthGlobal unicorn companies from Tokyo
Ten times increase in five years

Number of startups × 10
World
Competitiveness
Rank 1
(IMD)

World
Japan
4

Tokyo’s 10 × 10 × 10 Innovation Vision
for the next five years

1989

Global unicorns
× 10

Number of startups in Tokyo
Ten times increase in five years

World
Public-private
Tokyo will develop a
Competitivenesscompletely NEW
collaborative projects
Rank 34
strategy
andcreate× 10(IMD)social changes.
Number of public-private⇒Breaking throughcollaborative projects
Japan's deadlock. Ten times increase in five years
30 yearsof stagnation 2022

Number of startups
× 10

Public-private
collaboration
× 10

〇 Developing a startup strategy
With a “Born Global” mindset,
bold measures lead to social changeTokyo's Strengths: Harnessing
the potential for startups to thriveWith various players working together,
we will take on global markets<Our Approach>I

Making Tokyo the world’s most startup-friendly city

 Creating a “place” for innovation

Develop the “Tokyo Innovation Base” concept for interaction between
domestic and international challengers
Collaborate with diverse entities to strengthen startup support in a
multilayered manner Bold investments for “challenges” and “scaling up”
Providing comprehensive support to help young people with creativeideas start their own businesses
Encouraging businesses to take on global markets with overseas VC

 Public sector becomes the “first customer”


 “Redesign” regulations and rules

Ⅱ Creating a place where everyone can achieve their dreams
 Creating a society where challengers can thrive Developing entrepreneurship education programs for primary and secondary
education, in cooperation with economic organizations, etc.
 New entrepreneurship education course at Tokyo Metropolitan University
 Expanding “Tokyo Startup Gateway” to give shape to many ideas
 Create opportunities for students and young people to interact with startups

 Fostering a global mindset

 Enhancing English language education, study abroad and international
networking opportunities

Boldly expanding the field for startups in Tokyo (×10)
Promoting entry into public procurement through digital marketplaces, etc.
Promoting deregulation, rulemaking and business support that are tailoredto the needs of startups
Utilizing the special zone system to deregulate and attract highly skilledhuman resources from overseas

Ⅲ “One-team“ support from all stakeholders
 Strengthening university partnerships to support the creation ofuniversity-launched startups
 Promoting collaboration and networking with startups at our“external office (Dejima)"
 Uniting stakeholders to create ecosystems – Dec 2022 summit

Ⅳ Strategic PR for the world
 Hosting Tokyo’s first global event ”City-Tech.Tokyo“ in Feb 2023
 All-Japan collaboration to disseminate information to the world
 Building a common startup database targeting the global market⇒ Stakeholders will work together to materialize the initiatives, and TMG will reflect these policies in the FY2023 budget and the Future Tokyo Strategy, and implement them. 5

New initiatives aimed at the 10 × 10 × 10 Innovation VisionTokyo Innovation Base concept
Gather various domestic and overseas organizations involved instartups and create a hub for providing priority support(floor image)(reference image)

Creation of a mechanism toattract overseas VC/accelerators
Attract overseas VC with an extensive track record in supporting global
startups
Implement financing and an accelerator program for overseas development
BORN GLOBAL

Large-scale event space
Mobility companies/VC, etc.

Biochemical companies/VC, etc.
Finance companies/VC, etc.
Aerospace companies/VC, etc.

Tokyo Metropolitan
Government
Collaboration

Station F, France

Attract
Overseas VC/ Accelerator
accelerators
P

Environment/infrastructurecompanies/VC, etc.
Large-scale exchange space

Financing

Japan External Trade
Organization

Metropolitan area SU➾ Details on P27➾ Details on P23

Exciting experiences that convey
the appeal of entrepreneurship

Bring startups’ free ideas to the public sector

Provide opportunities for high school students to meet entrepreneurs,
establish courses at Tokyo Metropolitan University where students canexperience real entrepreneurship, and foster the entrepreneur spirit

Recruit proposals utilizing technology and products of startups
implement in the public sector, and greatly expand public procurement[Expand the entrepreneurship education course at Tokyo Metropolitan University]

Real 1

Real 2

Real 3SU, accelerators[Field experiences]

Experience the atmosphere onsite

Materialize
through dialogue

Contract/
implementation

・Free proposal type・Set theme type[Commercialization
experience in teams][Submit to pitch events, etc.]
Actual entrepreneurship is also possible

Experience consulting and planning

6

Call for proposals
from startups➾ Details on P38➾ Details on P29

7

Startups are driving global change and growth・ Most of the top 10 companies in the World Stock
Market Capitalization Ranking are startups.
(There is only one Japanese company in the top 50)
World Stock Market Capitalization Ranking 2022 (by company)

・Investment by global venture capital (VC) is rapidly increasing
The amount of investment in 2021 almost doubled from $346.7 billion in 2020
to $671 billion*startups are yellow

Global VC (billion dollars)
investment 800

CompanyCountry

1

Apple

USA

600

2

Microsoft

USA

500

3

Saudi Aramco

Saudi Arabia

4

Alphabet (Google)

USA

5

Amazon.com

USA

6

Tesla

USA

200

7

Meta Platforms (Facebook)

USA

100

8

Berkshire Hathaway

USA

0

9

NVIDIA

USA

10

Taiwan Semiconductor Manufacturing

Taiwan

USA

China

India

Japan

Other Asia

EuropeOther

World total

700

Rank

World Stock Market Capitalization Ranking 2022 (by country)

USA

400
300

2018

2019

2020

2021

Note: Quarterly data was combined by year. Red figures are Japan
Reference: Compiled from KPMG’s Venture Pulse 2021Q4 (January 19, 2022) Original data was by PitchBook.
*Cited from the Ministry of Economy, Trade and Industry’s White Paper on International Economy and Trade 2022

・In the US, half of all new employment is created through high-growth startups
Proportion of new employment in the US created by high-growth startups

China

USA
China

[5 companies]$17,987.1 billion
10.0%[34 companies]$201,265.9 billion
72.8%$273,242.8
billionSaudi Arabia
Switzerland
FranceApprox. 50%

South Korea
TaiwanJapan
IrelandDenmark

8

Source: World Stock Market Capitalization Ranking From STARTUP DB
https://startup-db.com/magazine/category/research/marketcap-global-2022

Creation of 2.9 million new jobs annually in the US(annual average 1980-2010)
Source: Compiled from the National Venture Capital Association “Yearbook 2021”

Startup innovation solves social issues
Startups that have grown globally create innovation and solve various social issues.
For example...

ModernaSpaceX

Uber

Biotechnology
Established: 2010

Space development
Established: 2002

Mobility technology
Established: 2009

[Innovative drug development][Transforming the space business][Revolution in transportation]

 Developed an innovative vaccine
for developing immunity byadministering mRNA, a blueprintof the protein that makes up the
pathogen Working toward use fordiseases for which no cure exists

 In 2020, SpaceX was the firstprivate company to succeed inTesla【脱炭素に向けた取組】
mannedspace flight.

 A technology company thatprovides mobility platforms, suchas ride-sharing and food delivery

 In December 2020, Moderna’s
vaccine for the novel coronavirus
was granted approval for
emergency use

 Provision of satellite
communications service throughthe high-speed, low latency
satellite communications service
Starlink, with coverage acrossthe globe

 Moderna pursues progress ininnovative science and therealization of rapid manufacturing
growth・ to commercialize the space Aiming
business, they achieved low-costlaunch・ by re-using rockets, etc.

 Uber has connected people inmore than 10,000 cities in over 70
countries, helping them with travel
 Uber promotes zero-emission
initiatives such as supporting the
introduction of environmentalfriendly electric vehicles

910

Around the world, various stakeholders in each region are
creating startup ecosystems
Throughout the world, the competition to create ecosystems that produce startups is intensifying.
In France, Dubai, Israel and the US, competitive ecosystems are being created in countries and cities.
In France, challengers from all over the world gather at
Station F, building a place for approximately 1,000
startups to live and create a community.

In Israel, a sovereign wealth fund (Yozma VC)
has implemented a program to encourage
private VC investment.

Amount of VC investment in startups in Israel
Private VC

Unit: $1 million

Yozma VC

3,000

Station F
Dubai is carrying out initiatives such as making it easierfor foreign residents to live there through deregulation,and having zero corporate tax or personal income tax
in the international free zone.

In the US, the government isproactively implementing an SBIR
system for public procurement.
At NASA, use of the SBIR system has brought
approximately 2,000 jobs and economic
benefits of more than $400,000,000.
Economic effects of NASA’s contract
research expenses through the SBIR system

Amount ofinvestment$152.82,500(1 million)

2,000

Employment

2,132 people

Labor income$149.7

Approx.
hundredfold

1,500

Additional value

1,000
500
0

(1 million)

Approximately$150 million
was invested in
the first year

1992 1993 1994 1995 1996 1997 1998 1999 2000

(1 million)

Effects(1 million)Tax(1 million)$232.3$418.8$50.6

Source: Yozma Program 15-Years perspective

Offices for startups

Source:Industrial Structure Council, Ministry of Economy,
Trade and Industry
Committee on New Direction of Economic andIndustrial Policies (2022/02/16)

Source: Compiled from the 2017 Economic Impact Report
NASA Small Business Innovation Research andSmall Business Technology Transfer (SBIR/STTR)

The number of startups in Japan are 120 times less than the US,
Japan has fallen to fourth place in the Asian rankings
Nevertheless, the number of startups in Tokyo and Japan are growing in recent years.
However, looking globally, it is small in both number and size.

Global Startup Ecosystem Rankings
Startup Genome (2017-2022)

In a private survey, the number of startups in Japan was 600 (24th),and 1st was America with 74,301, a figure 120 times that of Japan: a significant
difference between the two countries.
In the Global Startup Ecosystem Rankings, Tokyo was 12th (9th in the previous year),fourth in Asia after Beijing, Shanghai and Seoul.

As the value of Tokyo’s startup ecosystem has increased by 52.3%,($40.7 billion in 2020→$62 billion in 2021)
the fact that Tokyo has dropped in the rankings means that growth speed is not sufficient.
The new business start-up rate continues
to be lower than other countries.
International comparisons of start-up rate*1<No. of startups in each country(overseas private survey)>

Unit:%

3,619

UK

1,587

FranceUSA
Germany

74,301600

15,067

Japan

2,562
Due to the different nature of statistics by country, figures cannot be simply compared.
Resource: Japan, Employment Insurance Business Annual Report (Ministry of Health, Labour and Welfare);
USA, “The Business Dynamics Statistics” (United States Census Bureau); UK, Germany, and France, eurostat

From the 4th Industrial Structure Council, Committee on New
Direction of Economic and Industrial Policies materials 3

Many(https://www.startupranking.com/countries)

https://startupgenome.com/ja-JP/report/gser2022)

11

Compared to other countries, Japan currently has few young people with the willingness and hope of changing the society.
There is low drive for change and low social momentum to support such change, and society is not fully encouraging“people who will seriously take challenges.”

(%)
80
70

Attitude survey targeting 18-year-olds“I think that I can change my country andsociety through my actions.”

Social/cultural trends(Is the society or culture supporting entrepreneurship?)(score)The drive to change society in young
Japanese people sunk to the lowestof the six countries.

7.5

6.5

60
50

For cultures supporting entrepreneurship,in the GEM score, Japan was ranked 44 of
47 countries

5.5

40

78.9

70.9
30

58.5

4.5

61.5
50.6

20
10

3.5

26.9

2.5

0

IsraelUnited Arab Emirates

Compiled from the Global Entrepreneurship Monitor 2021/2022 Global Report,
February 10, 2022 GEM

USA

Saudi Arabia

Netherlands

NorwayLithuania

Jamaica

KuwaitSwedenColombia

South Korea

CanadaKazakhstan

MexicoFinlandOman

Dominican Republic

Chile

Guatemala

India

Switzerland

UK

IrelandSpain

Latvia

Italy

Egypt

Germany

GreeceLuxembourg

PanamaHungary

BrazilFranceSlovakia

PolandMoroccoUruguaySouth Africa

Iran

BelarusRomania

46th Report on survey targeting 18-year-olds on “Attitudes toward theircountry and society” (surveyed six countries)
March 24, 2022 Compiled by the Nippon Foundation

CyprusIndia

Turkey

South
Korea

Japan

China

Russia

UK

Sudan

USA

Slovenia

Japan

Croatia

12

There is a big difference in the drive for change andthe social momentum to support such change

13

Develop a next-level startup strategy to shine on
the world stage once more
Japan’s competitiveness has dropped from No.1 to No.34 over the past 30 years. If we don’t take radical efforts, we will be
unable to catch up to the rest of the world.
To shine on the world stage once more, we need to develop a new startup strategy on a different level from before with Tokyo
at the center, aiming to create a society in which challengers can have hope and flourish
Progressive governments and cities around the world are quickly
adopting the power of startups to achieve new growth and solve
social issues.
On the other hand, the world has reached an impasse due to theunprecedented crisis of infectious diseases, the climate emergency
and conflict.

Social/economic
growth14No.1 in global
competitivenessTokyo 2020 Olympics

No.34 in global
competitiveness

(IMD)

(IMD)

World

Tokyo will expand its
startup strategy onto
a new level, and createsocial change.
We will play our role forthe world at a deadlock.

1964 Tokyo Olympics

Japan

1989

In the past, Japan achieved
the world’s highest growth.
・Japan achieved the world’s highest
economic growth post-war
・Has constant trust within theinternational community
・Has the foundation to accept
progress in academia and technology

30 years of stagnation
Japan’s competitiveness declined anda sense of stagnation remained for along time2022
If this situation continues,
there is a risk of Japan declining
economically and an affluent lifestyle
not being possible anymore

Tokyo’s 10 × 10 × 10 Innovation Vision for the next five years
Global × 10
Have a global focus from business start-up, procure funds from overseas
VC, etc. and produce many startups that can enter the global market.
Create global innovation from Tokyo.

Global× 10

Benchmark: Increase the number of unicorns
from Tokyo by tenfold in five years

Number of startups × 10
Foster an entrepreneurship and create a society that encourages taking
challenges in starting your own business from learning focused on
thinking with your own head, not being afraid of failure and recognizing
diversity.
Create broad innovation that solves local issues.

Benchmark: Increase the number of startups inTokyo by tenfold in five years

Public-private collaborative projects × 10
The public sector embraces the power of startups and their innovation,
attracting new growth and solving various social issues.
Startups become partners with the public sector to make the future
happen.

Benchmark: Increase the number of public-private
collaborative projects in Tokyo by tenfold in five years

Number of startups
× 10

Public-private
collaboration
× 10

15

With a “Born Global” mindset, bold measures lead to social change
In addition to startups targeting the Japanese domestic market, TMG will aim to produce many startups which canflourish in the global market, and create social change with bold measures from a Born Global mindset.

Born Global

16

With a focus on the global market, develop policy on a different dimension
Up until now, the majority of startup support was focused on the domestic market, which produced local innovation.
On the other hand, the majority of startups worldwide are conscious of market size and have the global market intheir sights from the time of business start-up.
Moving forward, we will gather the necessary funding and resources with a focus on the global market, andcreate a field in which Tokyo can compete globally.

Implement comprehensive initiatives while referring to advanced cases throughout
the world
Governments and cities worldwide are carrying out advanced initiatives to contribute to the creation of ecosystems
for producing startups.
By comprehensively developing all sorts of initiatives, we will aim for Tokyo to become the most startupfriendly city in the world.

Create social change with non-hierarchical collaboration
Innovation is born from having diverse human resources engage in many free discussions.
Creating social change through non-hierarchical collaborations is the standard of advanced cities worldwide.
By collaborating with startups and the various stakeholders surrounding them, go out into the world andpave the way for a new era.

Create an environment in which challengers can flourish
A society that has people with hope and a drive to change society will lead our future.
Promote initiatives that will support challengers, including young people, in turning their gaze to the world
with hope and building a future.

Tokyo's strengths: Harnessing the potential for startups to thrive
Cluster of university andresearch institutions
Knowledge hub ofuniversities and research
institutions

Networking withdiverse people

Extensive stakeholders
Many stakeholders of startups,
such as economic organizations,
VC, accelerators, etc.

Diverse range of people ofvarious ages, nationalities
and backgrounds live andinteract there

Many companies
Approx. 54% of listedcompanies in Japan havetheir headquarters in Tokyo
Many SMEs with advanced
technologies

Huge economic
urban area

Attentionfrom overseas

Much global attention for culture,
tourism and the Tokyo 2020
Olympics legacy, can expect
future growth

The potential
for startups to growTokyo’s nominal GDP isapproximately 116 trillion
yen, equivalent to amajor OECD country

Gateway to the world
Advanced urban infrastructure
at the foundation of corporate
activities, such as rail network
and airport access

Diverse geography
World-leading total market capof listed shares
Total listed stock on the Tokyo
Stock Exchange is approximately
700 trillion yen

Potential
fund supply capacity
Approximately 2,000 trillion
yen of domestic personal
financial assets

Various social issues
Social issues unique tomajor cities and diverse
policy areas

Wide fields of implementation
outside the wards, such as
the forests and ocean ofTama and the island regions

17

With various players working together to support startups,
we will take on global markets
In Tokyo, various domestic and international players such as accelerators, venture capital andmajor companies are supporting startups.
“Better leave it to a specialist!” By supporting the activities of these diverse players as they
support startups, we will unleash the efforts of startups challenging the world.

18

Players supporting startups

Startup (SU)Major
companies

Promoteorganic growth

Venture capital(VC)
Accelerators
Universities

Investment
ProgramFacility
EventsRapid growth

Later stage Overseas expansion
Middle stage
Market entry
Early stage
ReleaseSeed stage
Implementation
Pre-seed stage
R&D

Support/environment development

Tokyo Metropolitan Government⇒ Policy deployment for the startup strategy is described from the next page onwards
to share what should be done in collaboration with these players.

Startup strategy to “support challengers”
To achieve the 10 × 10 × 10 Innovation Vision, revolving around 1. “born global,” 2. harnessing Tokyo’s
strengths, and 3. collaboration with diverse players, all stakeholders will work together to develop thefollowing initiatives in concrete terms.

I

Making Tokyo the world’s most startup-friendly city
1. Creating a “place” for innovation
2. Investment that promotes and accelerates growth
3. Expansion of public procurement as the first customer
4. “Redesign” regulations and rules

II Creating a place where everyone can achieve their
dreams
1. Fostering entrepreneurship
2. Fostering a global mindset (English language education, study
abroad, international networking)III “One-team“ strong support from all stakeholders
1. Achieving strong collaboration with universities
2. Using the combined efforts of stakeholders to support startups
collectively

IV Strategic PRwith a global
mindset1. City-Tech.Tokyo,
etc. Global events
2. One-brandpromotion incollaboration with
the national
government

19

20

I Making Tokyo the world’s
most startup-friendly city
Our Approach
1. Creating a “place” for innovation
2. Investment that promotes and accelerates growth
3. Expansion of public procurement as the first customer
4. “Redesign” regulations and rules21I-1. Creating a “place” for innovation

Creating a “place” where startups can meet throughpublic-private partnership
Create a major base where startups before the early stage can solve their problems in one place and expand the scope of startups.
Expand and strengthen the collaborative networks of public and private startup support facilities and produce organic collaboration.

Support of startups before the early stage is not sufficient

All facilities related to startups such as
government and private entities are concentrated[Proportion of number of investments in SU]• In Tokyo, 800 startups are bornin the same area, but independent of each other
Unit: %
per year
100+ public and private startup support facilities• Of the startups in Tokyo, 97% are
Middle and28
26100+ universities
later
before the early stage with
1000+ research institutions
relatively little financial power••

From an investment perspective,
the proportion of investment instartups before the early stage,
when it is difficult to evaluate its
business value, is half of that ofAmerica (see figure on the right)

27

50

Early

28

Pre-seedand seed

44

Various types of support are
required by startups (funds, sales
channels, regulations, etc.)

Source: VEC “Yearbook 2021–Data on Venture Capital
Investment,” NVCA “NVCA Yearbook 2022”

There is also the potential for manufacturing with SMEs and research institutionsof major companies

・Creation of a “place” for startups before the early stage and those who want to start their own business but are lacking financial power or knowledge,
where they can meet and challenge themselves
22・Creation of a “place” that can produce innovation and respond to diverse needs through collaboration with various startup stakeholders

Creating a “place” for innovation

Tokyo Innovation Base concept
 Gather various organizations, etc., related to startups such as VC, accelerators, major companies, universities, students
and government, both domestic and international, create a major base that provides focused support for startups before
the early stage
 and send the startups which were born and grown at the base to private support facilities and the like to further accelerate
growth on a global scale
Concept• A large-scale hub that will act as a gateway for Asian startups

Startups, VC,
accelerators,
major companies,
universities, etc.,from both Japanand overseas

Gain a global mindset
from an early stage,
collaborate with private
SU support facilities,
and encourage global
expansion• Target pre-early stage SU and SU focused on solving urban issues⇒ Set a deadline and support• Provide attractive accelerator programs for SU on a floor-by-floor basis• Hold regular events not limited to industry or field Create innovation• While building strong connections with graduate SU, create a system inwhich children, university students, and working people aiming to start theirown business can visit freely, connecting them with SU and those services• Attract private companies with operational capability from both Japan andoverseasTokyo
InnovationBase

Way forward (proposed)(floor image)
Large-scale event space
Mobility companies/VC, etc.
Biochemical companies/VC, etc.
Finance companies/VC, etc.

Aerospace companies/VC, etc.

Lacking financial power and knowledge
Priority support of pre-early stage SU

Feasibility
surveyEnvironment/
infrastructure companies/VC, etc.
Large-scale exchange space

Investigate
size, location,
operatingmodel, etc.

Facility development
Recruit residents

Open(FY2024)

Station F in France

In France, based on the idea that “other SU
know the answers to 90% of SU problems,”
a major startup support hub called Station F
was developed.
Has produced many unicorns in a short periodof time23

Creating a “place” for innovation

Expand, link and foster public and private startup support
Reinforce collaboration between urban startup/innovation facilities and communities, seamlessly expanding the support thatstartups requireWith TMG strongly encouraging initiatives for startup support by diverse entities, expand support for startups through publicprivate partnership in a multilayered manner.

DB creation

Visualize

Large-scale events

Collaboration between
facilities

Connect

Expansion of ecosystem

FosterExpandStartup support development
by diverse entities
1. Initiatives/
KPI suggestions

2. Results report
3. Achievement
rewardSU

Diverse entities

Sign agreementsTokyo By creating a startup DB, we can visualize the activity status of startups. It can be visualized from overseas
as well with English text.
 Connect the existing community through events such as the STARTUP ECOSYSTEM SUMMIT and CityTech.Tokyo.
 Hold networking events with managers from startup support facilities and promote information exchange
about support. Expand the ecosystem by bringing in participants.
 TMC will increase the number of support entities by signing agreements with domestic and overseas VC,
accelerators and major companies, and implementing a wide range of startup support that has never been
seen before, fully harnessing the ideas, networks and fields of private enterprises. (priority support for
initiatives under themes such as HTT and Femtech) (Startup support development projects by diverse entities)
 Promote collaboration with new technology of major companies and SME manufacturing companies, creating
new business.

24

STARTUP

Collaboration with governmentand diverse entities

SU
Support SU

SU
SUI-2. Investment that promotes and accelerates growth

Challenges for investment funds for the “challenges” and “scaling up”
of startups

・In order to achieve “Startups × 10” and “Global unicorns × 10” for startups, it is essential to have funds to encourage“taking challenges” that will produce many entrepreneurs, and funds to support “scaling up” through global expansion.
・Although the amount of investment in SU is increasing overall, the supply of risk money is not sufficient.

1. Sufficient risk money is not reaching SU before the seed stage

2. The fund procurement environment for SU aiming for
global expansion is weak

For SU to aim for commercialization, the materialization oftechnology and ideas is necessary.
In Japan, fund supply in this sort of initial period is not sufficient,causing a situation in which entrepreneurs are hesitating.

For startups to aim for global expansion - in other words, the “Born
Global” mindset - large-scale fund procurement is necessary.
The size of investment into Japanese SU is overwhelmingly small
compared to overseas.

Proportion of number of investments
in SU by growth stage (%)
Pre-seed
・Seed

22
44

Early

Risk of failure as considered byentrepreneurial interest groups (%)

Middle/later

50

27(amount: trillion yen)

28

Loss of funds
invested in
the business29

Holding debts
and personal
guarantees*Based on VEC “Yearbook 2021–Data
on Venture Capital Investment,”
NVCA “NVCA Yearbook 2022”

Japan-US comparison of domestic VC investment (2021)

83
77*Compiled based on Industrial
Structure Council materials

Develop an environment in which everyone can take challenges without
being afraid of failure by lowering hurdles for fund procurement in theinitial stage.

(No. of investments:
Ten thousand)

0.1

0.2

36.2

1.7
*Compiled based on Council of New Formof Capitalism Realization materials

Develop a fund procurement environment focused on the global market
in collaboration with both domestic and overseas players.

25

Investment that promotes and accelerates growth

Create a new framework for fund provision for SU in the initial stage
Collaborate with organizations related to startup support, and create a new framework to support activity funds forstartups before the seed stage. Combined with provision of funds, harness the knowledge and networks of each support
organization, and support various initiatives for SU aiming for commercialization.
Support researchers with the seeds of excellent research

Support young people with creative ideas

Demonstration ofpractical application

Market research

SupportAspiring
entrepreneurs

Commercialization Materialization
Establishment ofof ideas
corporation

26

SupportAccelerators
Organizations

Universities/
university VC, etc.

2. Achieving a business model with refined ideas
・Adopt a new perspective by bouncing ideas off others
・Identify issues through workshops, etc.

Project
development
moving forward‘22

Create business
schemeCreation ofbusiness plan

Commercialization
Establishment ofcorporation

1. Dig out the “gemstones” of SU launched atuniversities
・Encourage university researchers with excellent seeds
Connect university technology to entrepreneurship

1. Broad scouting of people who want to link theirambitions and ideas to business start-up
・Select from participants in TMG events as well

3. For promising cases, support expenses forcommercialization
・Costs required for market research and analysis
・Costs required for technical demonstrations (PoC)・Labor and equipment costs required for technology
development, etc.

Researchers, etc.

Tokyo Metropolitan
Government

Creation of a support framework
Fund support‘23

Sign agreementswith organizations

2. Broad support of operating costs aimed atcommercialization
・Experiment equipment/material cost for technicaldemonstrations (PoC)・Costs for obtaining intellectual property rights
・Staff labor cost
3. Mentoring focused on management support
・Refining business plans
・Introducing business partners and human resources, etc.

Recruit SU

Commence support

Investment that promotes and accelerates growth

Two new approaches of encouraging businesses totake on global markets
Promote SU growth by further enhancing fund supply
from university VC, etc.
InvestmentTokyo

GROWTHFinancing

University VC funds/domestic VC
funds

LP investment for funds managed by domestic VC,
including university VC
Project
development
moving forward‘23

Tokyo SU, etc.
Fund support for Tokyo SU such as university
SU through scouting and discovering by VC

GP recruitment/selection

Investment in each VC fund

Discovering/investment in SU

Create a mechanism to attract overseas VC/accelerators andachieve global expansion

Japan External
Trade Organization

Attract

Collaboration

Tokyo

Financing

Overseas VC/
accelerators

Collaborate with JETRO and the national government to support
the nationwide expansion of overseas accelerators and VC
Project
development
moving forward‘23

Coordinate with JETRO
and the national
government

Decide on who to invite

AcceleratorsP

BORN GLOBALTokyo SU, etc.

Overseas VC select the SU they will support,
carrying out fund support and accelerator
programs
SU selection
Development ofaccelerator P

Commence support27

I-3. Expansion of public procurement as the first customer

The public sector will be startups’ first customer.
Through public procurement, we anticipate effects such as improved credibility and reliability for the contractor. Up until
now, TMG advanced initiatives that increased reliability in the new product or service by providing metropolitan
government sites as a demonstration field.
However, these efforts were only carried out in parts, and a survey targeted at startups had feedback that “the bidding
procedure is complicated” and “the experience requirement was difficult, making it hard for startups to enter the market.”In response to these voices, while utilizing the strengths of its diversity of sites, TMG will create a positive cycle of socialchange through public procurement by being a “first customer,” increasing reliability in new products and services andcreating new markets.
Boldly expanding the field for startups

Promoting startup entry into public procurement
FY2021 TMG Bureau of Digital Service commissioned survey
Survey on the formulation of a startup collaboration strategy(questionnaire survey) Report (December 2021)

Contract procedures
such as bidding arecomplicated.

Further
improvement

28

Demonstration utilizing
TMG’s strengths ofdiverse fields

New
systemCreation of a framework
harnessing startups’
technology and ideas

Collaboration
with the national
government

Consideration of
adopting a digitalmarketplace

The bid participation
qualification grading isa hurdle for SU witha short company history.
toInitiatives for the TMG
the promotion bid contract systemsystemand procedures

10 times more collaboration!
Improved startup credibility, creation of new markets, improved services for residents

Expansion of public procurement as the first customer

Boldly expanding the field for startups
Creation of a new framework harnessing
startups’ technology and ideas

Significant expansion of contact between
startups and government sites

 As a new collaboration framework, create a frameworkthat recruits proposals utilizing startups’ technology andproducts to solve social issues.

 TMG will expand the government fields provided tostartups, and through encouraging collaboration withthe site, new efforts utilizing the startup’s proposals
will be implemented.

 Not limited to previous achievements, TMG will work tomaterialize excellent proposals of technology or
products through dialogue with startups, leading toproject implementation.
Business idea
stage
Call for proposals
from startups
Free proposal type
Recruit free proposals
from SU• Materialization of
proposed content
through dialogue
with TMG, such as
profitability andfeasibility• If necessary, order aprototype or research• Sign an agreement
and implement in
the government ina method according
to the content of
the proposal

 TMG will further promote target projects within theagency, such as expanding the catalog for products
for which private contracts for policy purposes are
possible.
Horizontal
development
acceleration
Further growthTokyo

SupportField provision

Collaboration

Problem solving

StartupCommercialization
stage
Contract/
implementation

Municipalities

Set theme type
Recruit ideas in policy
areas sought by MTG<Example of areas>
・HTT
・Deaflympics
・SDGs

Business review
stage
Materialize
through dialogue TMG will promote the expansion of demonstration
fields and introduction in municipalities throughexpansion to sites in municipalities as well.

29

30

Expansion of public procurement as the first customer

Promoting startup entry into public procurement
Participation in the digital marketplace incollaboration with the national government

Initiatives for the TMG bid contract systemand procedures

 Participate in the investigation into the introduction of adigital marketplace (DMP)* in the Digital Agency, andpromote startups’ new entry into public procurement, in
addition to the prompt and flexible realization of IT
procurement by the government and municipalities.

 For startups recognized as having excellent technology
and products, consider creating a system in which they
can participate in bids ordered by TMG, regardless of
their bid participation qualification grade.
Make bidding
possible for*DMP isA and B grade Private companies register their services on the catalog site
based on certain requirements (sign a comprehensive
agreement). The government agency compares these andselects one, thus completing procurement in a fast andtransparent manner.
Suppliers(private companies, etc.)“Digitalmarketplace”(Catalog site)

Framework agreement(FA: comprehensive agreement)

Participate in
the Digital
Agency’s review
committee

2023

Buyers(Government agencies)

Service selection(individual contract)

Demonstration of
DMP catalog site (forecast)

DMP testing (forecast)*Aim for TMG participation as well2024

projects

Bid participation
qualification

C grade As well as creating an easy-to-understand bid contract
guide, TMG will carry out registration support for thebid participation qualification for startups that will
receive subsidies, etc.
 Promote digitalization of contracts and expenditureadministration to reduce the burden of procedures
related to contracts and billing.
Creation andrelease of
the bidding
guide• Investigate a system in which bidding
participation is not based on grading• Registration support for bid participation
qualification• Full-scale implementation of an electronic
contract service

2023

2024

Digitalization ofcontract/expenditureadministration between TMG
and business operators

I-4. “Redesign” regulations and rules

A “redesign” of the regulations and rules tailored to startups
Rulemaking-type proposals (redesign of regulations)〇 In the past, TMG has proposed to the national government and achieved much deregulation, such as establishing a onestop center in Tokyo for business start-up and projects to promote foreign nationals starting new businesses. Moving
forward, in order to develop the most business-friendly environment in the world, TMG will make proposals to the national
government for various system reforms and the establishment of special measures for regulations that are a barrier tocarrying out business, such as the patent system for promoting university-launched startups.
〇 In addition, to ensure that startups can play an active role, in addition to deregulation, TMG will make proposals forrulemaking in new business domains to the national government and carry out a redesign of regulations and rules, as it isnecessary to create rules (regulatory clarity) for grey zone areas in which there is no clarification of interpretation of thelaw. Through these proposals for rulemaking-type regulatory reform that will support the commencement of new
businesses in Japan and business start-up in new areas, TMG will support the creation of innovative services.

Produce entrepreneurs
in Japan
Redesign of regulations

Rule redesign
selected fromglobal entrepreneurs

Support measures utilizing special zones 1
Promote rulemaking in consideration of startup needs

With an understanding of the needs of startups, conduct interviews andaccompanied support, and consider proposals looking to the future.
Support measures utilizing special zones 2
Rulemaking to attract highly skilled human resources from overseas
Aiming for an increase in the number of startups launched from Tokyo andacceleration of global expansion, TMG will advance discussions on special zone
proposals to relax visa requirements for foreign highly-skilled humanresources.

31

“Redesign” regulations and rules

Promote rulemaking in consideration of startup needs

32

Carry out accompanied support, leading to regulatory reform proposals
Image of accompanied support/needs collection
Stage 1 (first information collection/sorting)DejimaSU primary
information(various needs)

Business proposals/
negotiation with TMG

Use of subsidies andsupport systems

Removal of
legal/system barriers

Areas where
regulatory reform is needed

Understanding and sorting through interviews, etc.
Make a database

Stage 2 (consider response measures, implementation, specificaccompanied support)

Removal of legal/system barriers(regulations/procedures)

Each agency

Existing systems/
support measures

Removal of
legal/system barriers (law)Special zone
planningsupervisor

Revision andnew establishment Administrativereformof regulations
Areas where
regulatory reform is needed

New regulatory reform proposals in
National Strategic Special Zones
Ministry jurisdiction system
introduction/accompanied support

Mechanism for accompanied support/needs collection
Stage 1
〇 At a place for a one-team office such as Dejima, Team Tokyo
Innovation learns about the needs of startups, and considers
response based on the content of their needs.
〇 Connect the needs to each bureau and department, and sortout cases that will be dealt with at each responsible bureau anddepartment and that will need regulatory reforms due tobarriers such as laws.

Stage 2〇 The competent department takes responsibility for investigation
and response.
〇 If necessary, introduce the ministry jurisdiction system(regulatory sandbox system, grey zone system, etc.).
〇 Consider new regulatory proposals (redesign of regulations andrules) through rulemaking and new regulatory reform proposals
in National Strategic Special Zones.
〇 Team Tokyo Innovation supports the overall process.

“Redesign” regulations and rules

Redesign of regulations to be chosen byforeign highly-skilled human resources
Support the global expansion of foreign entrepreneurs and startups to increase the number of startups from Tokyo who are active globally
Aim to propose a relaxation of visa requirements for foreign highly-skilled human resources within the year.
Propose deregulation for visas to attract foreign highly-skilled human resources and the business start-up support system
Proportion of foreign entrepreneurs of the entire entrepreneur population
0%

20%

40%

60%

80%

Silicon Valley

46

54

Berlin43

57

London42

58

Shanghai

36

64

Singapore

35

65

New York

25

75

Beijing

23

77

Tel Aviv (Israel)

16

Bangalore
Japan

84

16
2

Foreign entrepreneurs

84
98

100%

・The proportion of foreign entrepreneursin Silicon Valley is just under half.
・For Asia, Singapore is 35% andBeijing is 23%. Japan has only 2%.
・It is necessary to promote
entrepreneurship in Japan throughforeign highly-skilled humanresources.

Domestic entrepreneurs

Source: Cited from “Figures for Silicon Valley-Bangalore” Global Startup Ecosystem Report 2017 (Startup Genome)[Japanese figures] Compiled based on “Summary of Statistics of Foreign Residents in Japan” (Immigration Services Agency, Ministry of Justice) and
Employment Insurance Business Annual Report (Ministry of Health, Labour and Welfare)

3 directions〇 Relaxation of visa requirements so that highly-skilled foreign human resources,
such as those who have graduated from overseas top-class universities, cansearch for a business chance in Japan.

〇 Relaxation of visa requirements to remove barriers that are blocking highly-skilled
professionals from coming to Japan, such as continuous employment for theirspouse.
〇 Relaxation of requirements for (special zone visa) projects to promote foreign
nationals starting new businesses

Comparison of business start-up funds/conditions, etc.

Within Japan

Foreign entrepreneurs

・Average fund procurement
at the time of business startup in Japan is 10 million yen
・Of that, an average of 2.82
million yen is self funded(*1) or the most common
amount is 1-5 million yen,at 36.8% (*2)

・Requirements to obtain a
Business Management visa
1. Has an office
2. At least two full-time
employees or funds ofat least 5 million yen

Source: *1 Research Institute, Japan Finance Corporation “FY2021 Survey on the Status of
New Business Start-up”*2 Tokyo Chamber of Commerce and Industry “Survey on the Status of BusinessStart-up and Startups” reportCompared to Japanese entrepreneurs, foreign entrepreneurs
have higher hurdles in terms of requirements for preparation
time and capital.

Develop domestic startups,
support global expansion
Invite foreign highly-skilled human resources andforeign entrepreneurs to Tokyo, creating innovation
through collaboration with urban companies andpersonnel.
Promote the globalization of domestic companies
by employing highly-skilled human resources fromoverseas.

33

[Column] Solve Tokyo’s issues through startup activities and realize a bright future
Startups quickly perceive state-of-the-art needs and produce new technologies and business models. The power of startups is that they
can be harnessed in solving various issues such as the climate emergency, leading to creating a bright future for Tokyo.

Connecting to the revitalization of industries
as a whole in Tokyo

The new technologies and services produced by startups inspire companies
and stimulate the industry. TMG will dig out research resources such as
major companies and promote collaboration between SME manufacturing
companies and startups.
Growthtogether

GEMStartup
TOKYO

Revitalizationof the local
economySupport activities that will link theStartupSME
knowledge and ideas cultivated by privatecompanies, such as major companies,
Integratewith entrepreneurship and new businesscreation
Technology, etc., produced by startups SME manufacturing technology

Promote the active participation of women andimprove diversity

In recent years, there has been an increase in women entrepreneurs, andstartups are playing a role in shifting the mindset to a society where
women can thrive. TMG is strongly advocating for improved diversity
including women and the realization of SDGs.
(Ten thousand people)
60
55
50

Number of women presidents/
percentage of women presidents

14.5%

Percentage of womenpresidents

13.5%

45

14.0%

13.0%

40

As startups bring new technology innovation such as climate tech andweb3.0 and aim for the realization of a sustainable society using thattechnology, TMG will support these initiatives.
Promote innovation through technology
support and R&D at the Tokyo
Metropolitan Industrial Technology
Research Institute, which
is a research and testing
institute established by
TMG

Moving forward, implement support forbusiness matching and the like forstartups in green areas and other fields
with growth potential

Utilize the deep ecosystem framework implemented by the Startup
Ecosystem Tokyo Consortium

Enhance the appeal of Tama/islands
The Tama area has many SME and universities/research institutions, andthe unique characteristics of the island region can be a place for
implementation. TMG will promote startup activities in the Tama/island
regions, which will increase in the region’s appeal.
Total support of businessstart-up in the Tama area

Establishment of a state-of-the-art
research and testing environmentand cultivation of professional talentStartup Hub Tokyo TamaTokyo Metropolitan University
Minami Osawa campus
Hino campus

APT WOMEN

12.5%

35

12.0%

30

11.5%

Number of womenpresidents

25
20

11.0%
10.5%

15
10

34

Realizing a sustainable society throughtechnological innovation

2014

2015

2016

2017

2019

2020

Source: “10th Nationwide Female President Survey” 2022.11 (Tokyo Shoko Research)

10.0%

Create women startups that will
become role models through shortterm intensive development
programs and overseas dispatch

Support ideas promoting
the island region

II Creating a place where
everyone can achieve
their dreams
Our Approach
1. Fostering entrepreneurship
2. Fostering a global mindset (English language
education, study abroad, international networking)35

II-1. Fostering entrepreneurship

Creating a society where challengers can thrive
Awareness of the current situation
Low rate of not being afraid of
their differences and embracing
their individuality
Response rate (%)

・As globalization continues and social issues become more complex, it is essential that
personnel who will become the leaders of startups gain the ability to take challenges
for various issues with multiple perspectives and to collaborate with people withdiverse backgrounds and opinions.
・”Entrepreneurship” is a skill needed in all personnel who will support society infuture, regardless of being in the public or private sector. To foster this spirit, it isimportant to collaborate with other people and carry out trial and error and achieve“education in which people learn from discussion,” not just producing the correct
answer.
・On the other hand, the awareness of “not being afraid of differences with others, andembracing your individuality” and “challenging new things even if there is a bit ofrisk involved” in Japan is lower than in other countries.

70

68.1

65

Lowest

63.8

61.3
59.6

59.4

60

55

Japan

67.3

USA

UK

China

77

78.1

79.8

USA

UK

China

South
Korea

India

The direction that we should pursue<Approach to policy development>☞ Promote education that fosters entrepreneurs from elementary school to university☞ Create a flow of putting ideas into shape, making them a reality, and growing them36 ☞ Create interaction for students and young people with startups

100

Response rate (%)

・Develop an environment in which we can respect each person’s individuality, have an
opinion different to others, and take challenges without being afraid of failure.
・Aim to foster an entrepreneur spirit through approaches at many learning stages
from elementary school to graduate school.
⇒ Develop an environment in which it is easy to produce startups, from young people
to middle-aged and senior citizens, and upgrade society as a whole80

Lowest

60

49

84.4
68.6

40
20
0

Japan

South
Korea

India

(Materials) 46th report on survey targeting 18-year-olds on“attitudes toward their country and society(six countries surveyed) report” (March 2022) Nippon Foundation

Fostering entrepreneurship

Overview of fostering entrepreneurship
Elementary school
student

Junior highschool student

Gain experience that will link tofostering entrepreneurs

TM-related
policies

Entrepreneur promotion projecttargeting elementary and juniorhigh school Offer entrepreneurship education programs
so that entrepreneurship will become an
option for the futureHigh school
student

University student/
technical college
student

Discover issues by themselves andlearn how to solve themHigh School
Entrepreneurship Program Support entrepreneurshipchallenges of high school
students, etc.

Graduatestudents

Entrepreneur/
employed at startup

Entrepreneur/employed at startup solving social issues

Tokyo Metropolitan University
Entrepreneurship Preparation Course Implement a course where you can hear about
the startup experiences and business ideas ofentrepreneurs with ties to Tokyo Metropolitan
University

Tokyo Startup Gateway
 Implement a refine-type business plan contest

Awarenessof issues

・It is necessary to expand initiatives
from dots → lines → surfaces
・It is necessary to havecollaboration between various
entities such as schools anduniversities

・It is necessary to increase awareness of TMG’s measures
・It is necessary to have experiences for gaining entrepreneurship and a system that easily
involves startups
・To support entrepreneurially-oriented students, it is necessary to have a community
transcending the university framework
・For the formation of a student community, it is necessary to have a place and an
environment where they can consult with accelerators and the like

Deploymentof measures

Implement ongoing entrepreneurship education forelementary, junior high, and high school students

Expand entrepreneurship education
at Tokyo Metropolitan University
Expand Tokyo Startup Gateway

Continuously refine measures while researching about the effectof the measures and success cases in Japan and the world

Creating a space for an entrepreneur community
A system in which students can be exposed to startups

37

Fostering entrepreneurship

Promote education that fosters entrepreneurs fromelementary school to university
Implement ongoing entrepreneurship education for elementary, junior high, and high school students〇 Development of a system for ongoing entrepreneurship education in elementary, junior high, andhigh schools.
・ Consideration/implementation of ongoing entrepreneurship education in collaboration with schools
and sharing/dissemination of advanced cases.
・ To convey the appeal of entrepreneurship to all high school students, promote various initiatives(image)(image)such as classes where you can meet entrepreneurs and content that can be learned in an enjoyable way
Entrepreneurship
Field trip to SU〇 Foster momentum to cultivate entrepreneurship in children in the community and society as a whole education at schools
・ Expand education courses utilizing the resources of schools, government, and companies, such as events and field trips(Proposed sites for trip)
CIC TOKYO

Expand entrepreneurship education at Tokyo Metropolitan University〇 Establish a new course (with recognition of credits) aimed at fostering an
Real 3
Real 2
Real 1
entrepreneurial spirit through successful experiences of solving real social issues
SU, acceleratorswith each other within the startup process.
〇 Roll out to other universities in Tokyo〇 Experience the three “real”s1) Can experience being onsite at a startup
・ As well as directly hearing about experiences from accelerators and startups, they
can also participate in events and internships to experience the workplace[Field experiences][Commercialization[Submit to pitch events, etc.]
atmosphere and culture
Experience
experience in teams] Actual entrepreneurship is also possible
the atmosphere onsite
Experience consulting and planning2) Can access startup support services from real government
・With the theme of solving social issues, students can create groups and experienceplanning for commercialization
・ Experience commercialization through use of TMG business start-up support services and consulting with experts such as
accelerators
3) Present ideas to real investors, and potentially become a real entrepreneur
・ Participate in business plan contests and pitch events, take challenges such as presenting ideas to investors, and you can potentially
actually start up your business38

Fostering entrepreneurship

Create a flow of putting ideas into shape,
making them a reality, and growing them
Expand the refine-type business plan contest Tokyo Startup Gateway
as the gateway for young people wanting to become entrepreneurs

Participate

Universities

Participation in
the entrepreneur
community〇 To expand the number of participants, actively approach young people with aninterest in creating things from university and graduate school, as well as technicalcollege.
・ Collaborate with startup support organizations and new measures, strengthening
the function as a gateway for young people with an interest in entrepreneurship〇 Participants create a mechanism for advancing to the next stage (connecting withparticipating OB/OG and accelerators).
・ Creation of a networking platform with past participants and strengthening of the
support system such as a certification system

Participate

Technical college/high school

A participant community born fromthe Tokyo Startup Gateway

Backing by
OB/OG
accelerators

Networking

Participants in the Tokyo Cup Open Data
Hackathon, etc.

〇 Expand to connections including participants in digital service contests foradministrative issues such as the Governor of Tokyo Cup Open Data Hackathon

Tokyo Startup Gateway
Tokyo Cup Open Data Hackathon

Connecting with other participantsConnecting with the government andaccelerators

TMG support

Friendly rivalry between participants
with innovative ideas

Connecting with other participantsConnecting ideas with ideas
New ideas are born

Fund support in the initial period⇒ Fruition of ideas,leading to entrepreneurship⇒ Further fruition of ideas,leading to entrepreneurship

Use of TMG support hubs

Participate in TMG procurement
Use of TMG demonstration fields
Participate in public procurement
Collaboration in solving government
issues⇒ Gain a playing field for growth

39

40

Fostering entrepreneurship

Create interaction for students and young people with startups
Creating a space for an entrepreneur community〇Students with an interest in entrepreneurship can freely access government,
accelerators, startups, etc., creating a place where they can freely gather
information and receive advice〇Hold events from time to time such as lectures by entrepreneurs to stimulateinteraction between students and formulate communities〇Mainly target students without seniors close to them who are entrepreneursor are employed at startups, and also target students from high school andtechnical colleges

Entrepreneur

Government/SU/VC/
accelerators

A place that you can freely
access anytime

Students without seniors close
to them who are entrepreneurs
or work at startups

Promote interaction withstudents and young people〇Collaborate with universities and universities who
participate in regular round-table discussions andhold workshops for the training of entrepreneurs who can
support Tokyo〇Promote interaction between students and startups
including startups comprised of alumni, and utilize student
ideas in government measures based on opinion
exchanges
Regular round-tablediscussions with universities

・Can consult about
any kind of worry
or problem anytime
・Hold events fromtime to time

Forming anentrepreneur community

Collaboration

Visit
Universities producing many startups
Participate

Laboratory, seminars
entrepreneur
department, clubs, etc.

A system in which students can be exposed to startups〇Government collaborates with general incorporated
foundations supporting startups to create opportunities
for internships, part-time jobs, and volunteering at
startups, and consider/implement the hosting of joint
recruitment events with startups(Image) Hosting of joint recruitment
events with startups(image)Workshop for fostering entrepreneurs[9th regular round-tablediscussion]<Key opinions>・ Entrepreneurship is notjust necessary forbusiness, but also forsocial change
・ Get universities involved,
have them voluntarily
create a model thatdevelops businessFostering entrepreneurship[Column] Entrepreneur events launched this year!
Startup career fair (January)
A career fair will be held for those with an interest in acareer in startups, such as university students andemployees at major companies, and startups seeking new
employees, thus promoting employment at startups.
Date: January 27 (Fri.) and 28 (Sat.), 2023
Location : Toranomon Hills Forum
Participants: ・Those with an interest in a startup career(Approx. 3,000 people)
・Startups interested in recruiting humanresources(Approx. 150 companies)(image)Workshop for students (February)
Promote interaction between students and startups andsupport Tokyo’s future
To link to entrepreneur training and promote datautilization, a workshop with the theme of data utilization
will be held mid-February
Theme: Startups producing innovation and breakthroughs(Tentative) Data utilization in companies and entrepreneur
training
Participants: ・Startups carrying out business using data
・Students (approx. 30)
Program: ・Explanation from startups about the status ofdata utilization
・Opinion exchange between startup companies
and students
・Presentation of business ideas, etc., by students(image)41II-2. Fostering a global mindset (English language education,
study abroad, international networking)

Fostering a global mindset to be active in the world
To achieve startup growth, it is essential to be active globally in ways such as global expansion of business and collaboration
with global companies and talent
We will train personnel with a challenge-taking mindset and who are always thinking and acting from a global perspective,
switching from inward-oriented policies and not being limited by frameworks such as “Japan” or “overseas.”

Implementation through startup events
Provide an environment for using practical English at startup-related events〇 Hold round-table discussions and workshops in English at TMG-sponsored
events such as networking events and career fairs〇 Implement initiatives for fostering a global mindset at Tokyo Startup Gateway
and programs supporting the global expansion of startups〇 Hold accelerator programs for students in collaboration with overseas VC, etc.

Training personnel who can be active globally
Further enhance English learning and develop a hybrid environment to foster
an international sense.

〇 Expand the Tokyo Global Gateway, including the Tama region, as a world
where you can fully experience a global world away from the everyday,with a townscape based on a foreign country〇 Promote interaction between public high school students deployed overseas
and overseas high school students〇 Implement overseas networking events online such as“virtual study abroad” targeted at public high school students〇 Improve the sending/acceptance program for exchange
students between Tokyo Metropolitan University andTOKYO GLOBAL GATEWAY
42 overseas universities

Staff learn themselves about
advanced cases overseas

Staff proactively travel to study advanced cases invarious countries such as Silicon Valley and Berlin tolearn about advanced cases of education linking to
the cultivation of entrepreneurship and a global
mindset, leading to them also developing a global
mindset.
〇 France
・ At Mission French Tech, the government’s startup
policy organization, there are 70 members intotal, consisting of its core members and staff
belonging to each government agency, who
promote initiatives as a unified team
〇 Singapore
・ Government and startups have come together tocollaborate in design thinking and arepromoting DX and solving social issues.

French Tech Central

Cafe design in Singapore

III “One-team“ strong support
from all stakeholders
Our Approach
1. Achieving strong collaboration with universities
2. Using the combined efforts of stakeholders to
support startups collectively

43III-1. Achieving strong collaboration with universities

44

Strengthen collaboration with universities
Tokyo has many universities which are knowledge bases, and collaboration with these universities is extremely important
for the creation and cultivation of startups.
TMG is currently collaborating with university stakeholders in various frameworks, and we will further strengthen
relationships, including this mutual collaboration.

Startup Ecosystem
Tokyo Consortium
With the aim of establishing Tokyo as a global hub city for thestartup ecosystem, the consortium comprises of themetropolitan government, municipalities, economic
organizations, companies, and universities (there are currently
21 participating universities)〇 Strengthen collaboration with all member universities byimplementing the below practical initiatives as consortium
projects
・ Creation of an information platform to promote matching between
consortium members
・ Select startups focused on global expansion with rapid growth
expected in the future, provide intensive support, and encourage
growth to unicorn level (deep ecosystem)
・ Publish figures describing Tokyo’s startup ecosystem on adashboard, etc. (information dissemination both domestically andinternationally)
・ Hold events inviting overseas VC and the like (startup overseas
expansion/fund procurement support)

Regular round-table discussions
with universities
To be established by TMG and metropolitan universities for the
purpose of carrying out free opinion exchange about solving issues inTokyo (there are currently 27 participating universities)〇 In July 2022, an opinion exchange/networking session on the topic ofpromoting university-launched startups was held. Utilizing thisopportunity, Team Tokyo Innovation built relationships directly witheach university, and implemented opinion exchange from time to time

Startup Ecosystem Formation Support Project GTIE
(Greater Tokyo Innovation Ecosystem)
As a platform to "nurture University Startups that can change theworld", Tokyo University, Waseda University and the Tokyo Institute ofTechnology are active as the managing organizations (there are
currently 13 participating universities)〇 By participating as the overseeing municipality, TMG will support activities
such as entrepreneur activity support and fostering entrepreneur talent, as
well as carry out ongoing opinion exchange about policies for startups〇 Broad rollout at universities in the Tokyo area

Achieving strong collaboration with universities

Collaborate with universities to strengthen support
To take full advantage of the accumulation of knowledge in Tokyo, enhance fund support for university-launchedstartups and strengthen support for initiatives aimed at fostering entrepreneurship.

Create opportunities for students tointeract with startups

Enhance fund support〇 Support for university-launched startups in the initial period・ Create a framework for carrying out support such as TMG fundsupport for universities and university VC supporting
entrepreneurship of university researchers and the like
Demonstration ofpractical application

Tokyo
Metropolitan
Government

SupportSupport

Universities/
university VC,
etc.

Researchers,
etc.

Creation ofbusiness Commercialization
plan
Establishment ofcorporation〇 Startup support in the growth period in collaboration with
university VC・ Implement fund support for SU in Tokyo aiming for global expansion
by having TMG carry out LP investment for funds managed byuniversity VC
Investment

Tokyo
Metropolitan
Government

University VC
fund

Fund
supplyTokyo SU〇 Hold student workshops utilizing a university-collaboration
system・ Hold workshops with a theme of data utilization, create networking
opportunities for students from each university with startups,
leading to the promotion of data utilization and training ofentrepreneurs

Career selection support for students〇 Hold startup career fairs and joint recruitment events
・ Provide opportunities for the promotion of employment atstartups by having those interested in a career in startups andstartups with an interest in recruiting employees to gather in one
place (held in January 2023)

・ Collaborate with general incorporated foundations supporting
startups to create opportunities for part-time jobs andvolunteering at startups, and consider/implement the hosting of
joint recruitment events with startups45

III-2. Using the combined efforts of stakeholders to support startups collectively

46

TMG has established a team at Dejima for daily interaction
TMG has formed the cross-departmental Tokyo Team Innovation group to thoroughly advance collaboration with startups
We have also established and are stationed at Dejima, the private startup interaction hub. As a metropolitan
government office that can be accessed anytime, we deepen our relationship with startups through daily interaction
and respond to various problems in one place

Using the combined efforts of stakeholders to support startups collectively

Key opinions from economic organizations and startup stakeholders
We carried out opinion exchange about issues and requests faced by startups with parties such as economic organizations andstartup stakeholders
In creating a space, it is necessary to have a main attraction of “who is there.” Universities and companies have few chances toSpace creation
network, so creation of a space for the seeds of startups is important. Also, it is rare to have a government agency at the
network hub, which would have significant benefits if procedures could be completed there.
Technology development requires large funds. Investment by TMG is effective as a catalyst.
Investment

First customer

Rules andregulations

It is important to support startups from the idea stage before business start-up and to expand
the range of startups.
There are many voices calling for fund procurement and expansion of sales channels, so
public procurement should be promoted.
Using the media for PR during these occasions will lead to credibility.
For the business operator, it’s not clear whether the barrier is the national government or municipality. It is important to have afunction that identifies vague issues.
Having administrative procedures and communication infrastructure not be able to be completed in English is an issue.

Entrepreneurship

These days, there are many people who want to solve social issues. There are also people conscious of business start-up fromwhen they are in high school.

Global mindset

In order to have Tokyo-launched startups moving to the global market, it is essential to have managers with global experience.

University
collaboration

Tokyo’s strength is that it has many universities. On the other hand, having so many makes it difficult. We need to consider
how we can connect universities with each other.
There is innovation transcending university departments, and methods of collaborating within the same department at other universities.

Global events

We need to strengthen collaboration with global cities and attract those from overseas.

47

Using the combined efforts of stakeholders to support startups collectively

Understand the various needs fromdomestic and international startups and VC
At Dejima, we are participating in events and carrying out consultation services, and receiving many problems and opinions fromstartups.
Through this, we have an understanding of the various needs that we must respond to moving forward.
Space creation

Investment

First customer

It is desirable to establish and use a hub for interaction with startups and overseas accelerators.
Instead of just seeing the positives, it is necessary to take relations back with us.
The current situation is that cutting-edge researchers are disadvantaged financially.
We think that is would be a good idea to bring out Japan’s distinctive characteristics and invest efforts into deep tech.

We want TMG to also consider using our services.
Having it used in government would be good PR for future business expansion.

Rules andregulations

We want to carry out investment activities in Japan but feel that there are challenges in the system and living environment.
Also, the three-month tourist visa is too short.

Entrepreneurship

Overseas companies aren't afraid of failure. They look at why the company failed. If they succeed the next time, they are
respected.

University
collaboration

In Israel, there are acceleration hubs in nearly all universities.
An ecosystem is launched around the university.

Unified support

Sharing of engineers’ knowledge is needed to increase the number of startups

Global events

We want to collaborate with TMG. First, we want to exhibit at City-Tech.Tokyo to promote ourselves.

Single brandpromotion

While listening to the voices of overseas startups and utilizing the special zone system, it would be a good idea to promote theinitiatives themselves to attract talent from abroad.

48

Using the combined efforts of stakeholders to support startups collectively

All stakeholders come together to develop the startup strategy
To realize the 10 × 10 × 10 Innovation Vision, it is necessary for various players to join forces and promote the initiatives.
This strategy defines the broad direction and specific initiatives to quickly share what needs to be done.
We will deepen communication with startup support stakeholders and implement initiatives while setting targets to createa cycle for upgrading the strategy through feedback. To kick off the process, we will hold a Startup Ecosystem Summit.

Strategy
formulation

Refine measures!
Upgrade the strategy!
TMG

National
government

Transparency of
progress
Feedback

Economicorganizations,etc.

Domestic andinternational VC
Accelerators

StartupMunicipalities

Implementation

Major
companies

2022.12.5 Host Startup Ecosystem Summit!

49

50

IV Strategic PR for the world
Our Approach
1. Global events such as City-Tech.Tokyo
2. One-brand promotion in collaboration with
the national government51

IV-1. Global events such as City-Tech.Tokyo

Host City-Tech.Tokyo to encourage startups to take challenges

52

An event for the realization of a sustainable society with the open innovation of startups
TMG hosts City-Tech.Tokyo for the first time!
Event overview[Main speakers]

Date: February 27-28, 2023
● Main location: Tokyo International Forum (hybrid type of both inperson and online)● Assumed participants: Startups, companies, cities, VC/investors, universities,
media, etc.
● Program: Keynote speech, sessions, pitch contest, booth
exhibitions, business meetings
Held at the same time as the international conference G-NETS, which invites top
officials from major cities overseas. With the theme of “Sustainable High City Tech
Tokyo,” the event will create and disseminate sustainability using high technology

Main themes(Infrastructure, social foundation, environment, lifestyle and culture) × City-Tech

Ben Horowitz(Investor General Partner
at Andreessen Horowitz)

Ulrike Schaede(Professor at UC San Diego,
author of Creating
Ambidextrous Organizations)

KPI

10,000 participantsParticipants from100 cities in 30 countries

Global events such as City-Tech.Tokyo

Utilize overseas global events to connect with other ecosystems
In addition to dissemination and interaction within Japan, we will utilize key global events held overseas to promote Tokyo’s
startups and directly network with overseas players, thus connecting and collaborating with overseas ecosystems.

Financialorganizations

VenturecapitalMajor
companies

Startup

Team Tokyo Innovation
for All STARTUPs

Universities

Finance
VentureCapitalEnterprise

STARTUP

University

Accelerators Government

Accelerator Government

Tokyo’s startup ecosystem(Silicon Valley, New York, London, Singapore, etc.)

Overseas startup ecosystems

Smart City Expo World Congress 2022
Participation at (Barcelona, Spain, Nov. 15–17, 2022)

・Promoted Tokyo’s seriousness in collaborating with startups at various sessions during the event
・Tokyo startups also participated in the event, attracting the attention of various overseas players

53

Global events such as City-Tech.Tokyo[Column] Adopt successful examples from foreign countries andstrategically communicate with a global perspective
Viva Technology, Europe’s largest tech event, was held in France from June 15-18 2022, with people coming from all over the world
As well as promoting open innovation with major companies and startups, there was also content to be enjoyed by children and young people.
By actively adopting successful cases from overseas such as this, we can utilize strategic communication with a global perspective.

54

IV-2. One-brand promotion in collaboration with the national government

Communicate to the world about an All-Japan collaboration
with the government
If activities with a global perspective are conveyed separately by city, it will get buried within information from other countries. The
majority of foreign countries are using their country’s brand to expand their startup strategy, so Japan also needs to use an All-Japan
approach to its initiatives.
The capital Tokyo will collaborate with the national government, as well as collaborate further with all Japanese cities, to communicate
as one Japan to the world.

Use the Japan brand

Develop integrated measures■ Use Japan’s name to communicate
Tokyo’s initiatives and appeal to theworld■ Participate in the study on
introducing a Digital Marketplacewith the Digital Agency, and promote
new entry into public procurement
for startups collaborating with thegovernment and municipalities

Startup measures communicated by various countries
tend to use the country name at the front as a brand.

■ Make a catalog of startup products
and services selected by the national
government and TMG, making it iseasy to use for both parties

Communicate to■ Of the regulations that are barriers
startups, analyze, verify andthe world as one Japan torequest
proposals for thosepertaining to national legislation

Centralize startup information■ At City-Tech.Tokyo, promote
Japanese startups and Japan’s
initiatives to other countries, such as
participation of J-Startup companies
selected by the national government■ Centralize startup information(including the national government)
and communicate this strongly,
targeting overseas VC(➾ details on the next page)55

One-brand promotion in collaboration with the national government

Communicate a centralized startup information database to the world
In Japan, a common database for understanding the overall status of startups has not been developed, so there are manycases in which, despite having interest in Japan, overseas VC are unable to access sufficient information, and do not end
up investing.
In order to communicate to the world, we will develop a centralized database in English with information related tostartups in Japan, and promote initiatives as a unified Japan.
・In France, startup information islisted on a centralized
dashboard・Information is listed in English,
so it is easy to understand forforeign countries as well

56

Overseas
VC
Has interest in Japan and Japanese startups.

However, they don’t know much about Japanese startups, so
there are many cases when interest does not lead to actual
investment.
(from interviews with startup stakeholders)Targeting overseas VC, develop a centralized database in English
with information related to startups in Japan.
Collaborate with the national government and private databasedevelopment operators to create a platform that will connect us
globally.
Private DB
Startups supported
Startupsby the national
supported bygovernment
TMG

J-Startup
Company
Source: From the La French Tech homepage
Source:INITIAL homepage

Develop initiatives that promote startups in waves
After launching Team Tokyo Innovation, this strategy was developed, and the 10 × 10 × 10 Innovation Vision and whatshould be done to make it a reality were clarified. Moving forward, we will develop initiatives in waves, such as the Startup
Ecosystem Summit and City-Tech.Tokyo.
In addition, we will reflect these policies in the updated FY2023 budget and the Future Tokyo Strategy, and work together
with all stakeholders to implement them.

Climax!

Stakeholders
work together toimplement initiatives

2/27-28 City-Tech.Tokyo
1/27-28 Startup career fair

Future Tokyo Strategy
UpgradeReflected in
the FY2023 budget

12/5 Startup Ecosystem Summit
Participation

11/24 Global Innovation with
STARTUPS announcement
8/26 Team Tokyo Innovation launchMaterialize
initiatives

57

About the colors used in the strategy
This strategy is based on the colors Edo purple and gold.
Edo purple is a hue widely loved among people, which used
Global Innovation with STARTUPS

the Murasaki grass roots that grew wild in Musashino for dye in Edo.

Published November 2022

It is used in the flag for Tokyo and is a much-loved traditional color.

Print No.（4）19

Edited and Published by:
Project Promotion Section, Planning and Coordination Division,
Office of the Governor for Policy Planning,
Tokyo Metropolitan Government
2-8-1 Nishi-Shinjuku, Shinjuku-ku, Tokyo 163-8001 Japan
Tel: +81-3-5388-2088

Gold is a color that is reminiscent of the Olympic legacy.
As well as the glorious excitement of the tournament,
many innovative initiatives aimed at realizing a sustainable society,such as medals created from urban mining, will be continued
and developed as a legacy.

Feedback about this strategy can be madehere. The proportion of those who want totake challenges for new things, even if
there is some risk, is low

Tokyo, where tradition and innovation intersect;Tokyo, the world’s most startup friendly city,
will continue to promote startups.