Kyoto-Osaka-Kobe Startup Ecosystem

Rev.1.1

2 0 2 2

Uniqueness of the three cities coming together in cutting edge technology
A startup ecosystem for growing companies from the Kansai region aiming for the global market

02_CONTENTS
03_Brand Message
04_Kansai Market and Potential
14_Ecosystem Support Cases
18_Startup Interviews
30_Ambassador Interviews
34_Future Prospects-02

A new ecosystem for Kansai startups aiming to the global market.
Mashups of Kyoto, Osaka, Kobe three cities cutting-edge technology and originality.

Kyoto-Osaka-Kobe Startup Ecosystem

The three cities Kyoto, Osaka, Kobe (*1) are working together to create a new

The three cities coming together will allow the circle of collaboration andecosystem for Kansai (*2) startups aiming to the global market by doing mashup

support that universities, companies, and government are engaged in. We

each cutting-edge technology and originality based on a long history.

aim to promote the presence of Kansai startups to domestic and international"Kansai Startup Mashups" is the brand message (tagline) that communicates

investors and create new synergy in startups through the exchange of cutting-this initiative to the world.

edge technology and global wisdom in Kansai, a region rich in long-lived
companies.

- Osaka:
A gathering of companies in a wide range of fields including deep tech..
- Kyoto:A city of startups backed by universities and research institutes.

Make Kansai a place of connection for the hard-working entrepreneurs, aspiring
entrepreneurs, and all the people who want to support the process.

- Kobe:Focus on the life science area and easy to engage in social experiments.
*1: The region centered on these three cities is called Keihanshin, and it is the main region of Kansai.
Also, Keihanshin is one of the Empowerment Program for 8 Startup Ecosystem Cities designated by the Cabinet Office.
*2: Kansai is a name that refers to the western part of Japan, as opposed to Kanto, which is centered on Tokyo.
Usually refers to six prefectures : Osaka, Kyoto, Hyogo, Shiga, Nara, and Wakayama.
But it can also refer to seven prefectures including Mie, or the entire western Japan area.

-03

R&D-oriented Startups Attracting Attention in the Startup Market
Kansai Market and Potential

In the recent startup market,
companies with large financing
scale from their early stages, suchas R&D (Research and Development)
spenders, have attracted attention.
Kansai has a fertile ground to support
development of this field through thesupport by its ecosystem.

R&D-oriented Startups
Attracting Attention

Up to now, the startup market has been driven by
the IT/software sector (keywords: AI, SaaS, FinTech).
While the financing market for such companies is stillbooming, investment in startups that conduct business
requiring R&D, corporate alliances, and expertise (e.g.,
intellectual property management), such as deeptech, pharmaceutical/drug discovery, MaaS, and spaceventures has been more active around 2020.

Source: [Free latest version] All about "Startup Financing Trends" in 2020/NewsPicks/2021-1.29
https://newspicks.com/news/5562829/body/-04

Kansai's Potentiality for the Birth of Unicorn Companies
Kansai Market and Potential

Kansai has a ground to produce university-launched startups easier throughcollaboration among industry, government, and academia.
1

Distribution of startup activities in Kansai

2

Kansai's ecosystemthat produces university-launched startups

The startup ecosystem is actively formed by industry, government,
and academia. The system consists of a centralized support function
We believe that an ecosystem is essential to promote R&D-oriented
businesses, which encourages startups through collaboration amongand startups located in the surrounding area.
※ For Kyoto University (2nd. in the number of startups) and Osaka University (3rd. in the number od startups) in the above chart,
the figures refer to the number of startups created in Japan.

industry, government, and academia. Kansai has strengths in crossgenre collaborations, taking advantage of its regional characteristic thatvalues human connections. In addition, Kansai startups tend to havea high percentage of foundations in the fields of medicine and biotech

Source) Both from "The Current State of Kansai Startups and the Formation of
the Ecosystem" by Japan Research Institute, Limited.

drug discovery.
-05

Kansai's Strengths Supporting the Ecosystem-Corporate Collaboration

Kansai Market and Potential
ー Kansai has strengths in corporate collaboration, university-launched startups, and social demonstrations that support the ecosystem. ー

Keihanshin area (Kyoto, Osaka, and Kobe),

the largest economic area in western Japan
Kansai is one of Japan's leading
economic regions with a highly
concentrated area of large companies
in western Japan. It has also a fertile
ground for startups and alliances.

GDP : 74.1 trillion yen

Population : 16.75 million

Number of companies : 500,000

Number of large companies : 1,559(about 12.8% in Japan）※ 1(about 13.8% in Japan）※ 3(about 13.4% in Japan）※ 2(about 14.0% in Japan）※ 3※1 Cabinet Office_Statistics Table Prefectural Accounts (FY2019)※2 Statistics Bureau, the Ministry of Internal Affairs and Communications_Population Estimates (September 2022 Report)※3 Small and Medium Enterprise Agency_Number of Small and Medium Enterprises by Municipality (November 2018)-06

Hutzper x Softbank
Provides solutions for the manufacturing industry to improve
productivity by combining edge computing and deep learning.Throughmatching via the Osaka Business Development Agency, four companies,
including Softbank, a major Japanese telecommunications company,
jointly conducted the "Functional Verification of an Automatic Transport
Robot Equipped with an Advertisement Distribution Function Using 5G"
at a commercial complex in Osaka City.

Startup x Large Company
ーCollaboration CaseSEQSENSE x Kawasaki Heavy Industries
SEQSENSE provides solutions for next-generation facility managementthat integrate security robots with high autonomous mobility andcloud technology,and cooperate with Kawasaki Heavy industries which
has high hardware technology jointly conducted a demonstration
experiment to automate delivery operations using autonomous robots
in a hospital. Helps to solve the labor shortage and to reduce the burden
on medical workers.

Datagrid x Keihan Holdings
Joint developed solutions utilizing Synthetic AI and provides AI
products.
Launched a demonstration experiment in collaboration with Keihan HD
to explore the potential for PR utilization.
Released Kyoto sightseeing guide videos featuring digital humans
generated by Synthetic AI on the Keihan Group's official account.
-07

Kansai's Strengths Supporting the Ecosystem-University-launched Startups

Kansai Market and Potential
1

Number of university-launched ventures peruniversity identified in FY2021

There exist several universities withhigh potential.
In particular, Kyoto University andOsaka University have produced a large
number of university-launched startups
and achieved high financing.

Source) "Survey Results on the Actual Situations of University-Launched Ventures Compiled"by Ministry of Economy, Trade and Industry (May 17, 2021)
https://www.meti.go.jp/policy/innovation_corp/univ-startupsdb.html●

Kyoto University in the 2nd place and Osaka University
in the 3rd place in number of university-launched SUs per university.

Kyoto University financed 11.7 billion yen in 2022, the 3rdlargest financing amount in Japan.

●

-08

2

Trends in Major University-launched Startup Financing

Source : INITIAL,Japan Startup Finance 2022 First Half - Startup Funding Trends in Japan
https://assets.ctfassets.net/bdepgd648nl9/7d5s4b62PwdQdNtH4XiPLK/732fb5da232ff67a0ef153310c8c90e2/japan-startup-finance-2022h1.pdf-09

Kansai's Strengths Supporting the Ecosystem-Social Demonstrations

Kansai Market and Potential

What is UIK in Kobe City?

Many active movements are seensuch as Urban Innovation KOBE(UIK)
in Kobe City, which aim to improve
citizen services by using the power ofstartups.

Startups with flexible ideas and superior technological capabilities andcity officials with detailed knowledge of social and administrative issues
collaborate to find optimal solutions and aim to build and demonstrateservices.

-10Cases of Social Demonstrations at UIK[Launch of a demonstration experiment to improve the physicalstrength of children in Kobe city]

Pestalozzi Technology Inc. provided "ALPHA" with an "exercise diary"function to children in Kobe City to record the results of digital physicalfitness tests and the content of their daily exercise.
By introducing a system that enables each student to use a personal
computer for learning to input, store, and check the content of their
daily exercises (visualization of exercise) improve further the children's
motivation to exercise and help them make exercise a habit.

[Launch of a demonstration experiment

to eliminate wildlife damage]

Introduced speakers on a trial basis, which emit
ultrasonic waves that wild deer dislike in areas plagued
by deer droppings. Considers expanding the projectto other regions as well based on the results of thedemonstration.

-11

Ecosystem Structure for Lasting Support
Kansai Market and Potential

Kyoto, Osaka, and Kobe Universities, companies, and government
A support structure that integrates their respective aspirations and ensures startups to grow.
Overview of Startup Support that the Kansai Ecosystem Aims to
Collaboration Support Taking

Advantage of the "Connection-oriented" Regional Characteristic

Examplesof support
that creates
connections

Makes opportunities to produce venturesthat utilize the resources of universities,
companies, and government.

Holding pitch events

Providing community space

Providing community with Angel Fund

The Kansai Ecosystem has strengths in creating contact points of startups
with universities, companies, and governments and building a support
system by taking advantage of its "connection-oriented" regional
characteristic
The Keihanshin Consortium that takes advantage of the "connectionoriented" regional characteristic

Potential Administrative Support-12

Ecosystem Structure for Lasting Support
Kansai Market and Potential

Overview of Startup Support that the Kansai Ecosystem Aims toHolistic Support System

collaboration with universities/companies, support for community-wide

Future Support Service Focus Areas
Actively provides support for areas with particular growth potential
based on the past achievements and experiences.

* Specific support achievements are listed on the next page.

Representative startups in the Kansai region

Has a system that supports holistically the startups' growth, including
social demonstrations, and support for overseas collaboration.

University Collaboration
Corporate Collaboration
Social Demonstration
Overseas Collaboration Support

Support Service Focus Areas
Life Science
Deep Tech
Carbon Neutral

Visible Active Startups in Kansai-13

Examples of Support System in the Startup Ecosystem

Support for Corporate Collaboration

Many startups from the Kansai region have grown continuously by utilizing the support menu of the ecosystem.

Support for Corporate Collaboration
Support Menu

Examples of the support of Startups Introduced in this Magazine
Osaka- Morning Meetup- Rehabilitation3.0- Osaka Agri-Innovation Grand Prix

- Sagri

A program to make a pitch to large companies, venture capitalists, and the media.
Aims to create business alliances between startups and large companies and open
innovation in large companies.

Made a pitch on the 'CareTech Special' of this event, leading to an opportunity to
improve its business.

A contest that aims to achieve new business models for corporations andindividuals engaged in agriculture-related businesses. The sponsors provide funds
and technologies to the winners to help them implement business plans that
contribute to innovation in Osaka's agriculture.

With the Grand Prix of the contest as a start, received the funds and technology
from sponsors to promote the transformation of agriculture into a growth industry
and the development of sustainable farm management.

Kyoto- Kyoto City Startup Support Fund

- Space Power Technologies- Kyoto Startup X- Space Power Technologies

A fund to support startups run by the "Kyoto City Startup Support Investment
Limited Liability Partnership," consisting of local financial instituitions. Helps
regional revitalization through active development and support of local
companies.

Organized by Kyoto Startup Ecosystem Promotion Council. An event wherestartups from Kyoto meet together.

Selected as a portfolio company of this fund and acquired an investment .

Made a pitch on the 3rd "Green Innovation Edition" of this event, leading tobusiness tie-ups with large companies.

-14

Support for Corporate Collaboration

Examples of Support System in the Startup Ecosystem

Support for Corporate Collaboration
Support Menu

Examples of the support of Startups Introduced in this Magazine
Kyoto- Exchange Meeting of Kyoto Startup Support Angel Community- Metro Weather- Kyoto City Venture Business Connoisseur Committee- Space Power Technologies

Startups presents their business plans to executives and angel investors to deepen
exchanges.

Discovers and develops ventures that will lead the Kyoto's economy. Evaluates
the qualities, technologies, and ideas of entrepreneurs to provide comprehensive
support to certified companies.

Received mentorship from PwC Kyoto Audit Corporation, which matched at theexchange meeting, to improve its business. Leads to financing for prototype
development, cooperating in demonstration experiments, searching for businesscollaborators, and recruiting resources.

Certified its business plan as rank A of this program, received a rent subsidy formoving into the "Kyoto-University Katsura Venture Plaza," a subsidy for fostering
Kyoto-style global niche and top companies, and a financing program for policy
support.
Hyogo- Hyogo Kobe Startup Fund

An investment fund jointly established in collaboration with Kobe City and privatecompanies. Invests in startups that are expected to achieve dramatic growth torevitalize the local economy and improve the industrial competitiveness.

- Sagri

Selected as the first recipient of this fund and received investment.

-15

Examples of Support System in the Startup Ecosystem

Support for Governmental Collaboration

Support for Governmental Collaboration
Support Menu

Examples of the support of Startups Introduced in this Magazine
Osaka- OIH Startup Acceleration Program(OSAP)- Rehabilitation3.0- Trial Round Table- Rehabilitation3.0

Aims to accelerate startup business growth. Provides accompanied support tofocus on issues that need to be strengthened or improved, and to contribute to thenext round or business alliances.

Selected as a support company for this program. Adopted several subsidy programs
after repeated discussions with the mentor about growth strategies. Conducted
mentorship with a large companies four times, resulting in business partnerships
with several companies.

Startup demonstration promotion project in Sakai City, Osaka Prefecture. Provides
demonstration fields such as public facilities in the city and facilities owned
by partner companies, as well as subsidies and PR support for demonstration
projects.

Conducted a demonstration experiment to estimate physical and cognitive
capabilities from sleep for the citizens in Sakai City. Verifies the needs and effects,
leading to improve its business plan.

Kyoto- Provision of incubation facilities for startups.

Supplements management resources lacking in startups in their early stages of
establishment to support business expansion and success.

- Metro Weather

Achieves business growth with the help of the "Advanced Chemical Technology
Center in Kyoto (ACT Kyoto)," the "Uji Venture Business Development Factory," andthe "Keihanna Venture Center."

Hyogo- SDGs CHALLENGE- Sagri- Urban Innovation Kobe

- SagriCo-creation program in collaboration with UNOPS, a UN agency aiming to solve
global SDG issues. Provides business development support for accelerators, aswell as financial support for demonstration and research projects in overseas
expansion.

A project to solve issues in collaboration with startups. This is a demonstration
project that matches startups with various local issues and collaborates to solve
them.

Selected by this program and conducted a demonstration experiment in India
with a view to developing a new decarbonized business in agriculture. Leads to thedevelopment of overseas business.

Selected by this project and conducted demonstration experiment on the use of"ACTABA," an application for monitoring the farmland status in the city's farmland.
The Kobe City Board of Agriculture decided to introduce the application for the firsttime in the Kansai region.
-16

Support for University Collaboration

Examples of Support System in the Startup Ecosystem

Support for University Collaboration
Support Menu

Examples of the support of Startups Introduced in this Magazine
Osaka- Osaka City University Healthcare Startups- Rehabilitation3.0

A program in collaboration with Osaka City University (currently Osaka
Metropolitan University) aiming to create new technology-based businesses
in the healthcare field. Practically learns how to build a business to achievecommercialization through mentorship from various experts in the healthcare
field.

Participated in this program and presented its business plans at the "Demo Day"
held at the end of the program. Leads to searching for collaborative partners andfinancing.

Kyoto- "Forest of Enterprise, Forest of Industry-Academia"
Promotion Project

Aims to create new growth industries through industry-academia-government
collaboration. Provides comprehensive support for efforts to create products andservices and to develop sales activities through collaboration among players suchas universities and research institutions.

- Metro Weather

Adopted by the "Commercialization Promotion Course" of this program andreceived business support for full-scale market research and sales channel
development by developing prototypes and services and conducting test sales.

- Space Power Technologies

Adopted by the "Full-Scale Business Development Course" of this program andreceived business support for applied research and development of production
technologies, and investment in mass production facilities for practical use, alongwith the related development of sales channels, leading to accelerated businessgrowth.

-17

Startup Introduction - 01

Space Power Technologies Inc.

Master of Science in Computer Science

Please tell us about your company.

and Systems Engineering, Kobe University

We, Space Power Technologies Inc., are a startup founded inand currently PhD candidate at Saitama
University. First-Class Technical Radio
Operator for On-The-Ground Services.
Engaged in developing microwave
antennas and filters for communication
and broadcasting in the Electronic Circuit
Department, Antenna Division of NIHON
Minoru Furukawa
CEO, Space Power Technologies Inc.

D E N G Y O K O S A K U C O. , LT D . . S t a r t e dwith his own independent research anddevelopment of rectenna for microwave
and optical Wireless Power Transfer, anddeveloped rectifying antennas using highefficiency power diodes and wirelesspower transmission systems in the New
Business Development Department.
Participated in drafting the Standard
for Surface Electromagnetic Coupling
Wireless Power Transmission System formobile devices.

■ Business Introduction

Development and manufacture of

wireless power transmission systems forTruly Wireless IoT.

Kyoto in 2019 on the mission "to make IoT available whenever

and wherever you need" and with the vision "to make power'layout-free' ."Since around 2010, mobile devices and edge devices havediversified, and they has increased exponentially in number.

These devices require a continuous power supply, while they
have very limited means of power supply sources,and thus stillrequire wires or charging cables. Without knowing, the limitedaccess to power restricts our economic activities in an IT society.

We will free people from such inconveniences and achieve atruly wireless world. We will make innovation with microwave
wireless power transmission that can be used anywhere.
How and why did you start a business?
At my previous job, I was engaged in product developmentof wireless power transmission systems, which achieved thehighest level of efficiency and attracted a lot of attention.

However, the regulation at that time allowed only very small
power transmission like handheld terminals for electronic tags.

It was not sufficient to meet market needs, so the company
ended up with discontinuing its development. So, I decided toleave the company to start my own business, and returned toschool to resume my PhD research on optical wireless powertransmission, aiming to establish the technology.

Then, around 2016, several industry associations have actively

requested the government to develop regulations for wireless-18Startup Introduction - 01
power transmission, and we see hope for institutionalization of
wireless power transmission.

Therefore, I asked Dr. Naoki Shinohara, Professor at the ResearchInstitute for Sustainable Humanosphere, Kyoto University,

to become our Science Advisor and he accepted it, because I
collaborated with him in my previous job. I started my businesswith hands-on investment from Kyoto University Innovation

Space Power Technologies Inc.

In Japan, the regulations for microwave wireless powertransmission came into effect in May 2022, but their use islimited to only unmanned indoor environments. As the next step

institutionalization discussion until 2025, we are cooperating withindustry stakeholders to expand its use cases to smart terminals
and to infrastructure monitoring sensor systems both in manned
indoor and outdoor environments.

Capital Co., Ltd..

The global market for wireless power transfer is estimated to be 742

Please tell us about your business.

and to go public.

We are developing wireless power transmission systems by wayof microwave. We make available wireless power transmission

billion yen in 2025. We aim to grow our sales to 3 billion yen in 2026

Why did you start a business in the Keihanshin area?

at a few meter distance and then contribute to improvement

Our business is based on the technology which Dr. Shinohara,

without the hassle of wiring and battery replacement.

part of Space Power Solar Satellite project. We need to get support

What is the social situation surrounding your company

our company here in Kyoto (Keihansin area).

of productivity and quality at manufacturing and logistics sites

and the value you can provide in that situation?
Nowadays, IoT is spreading into various areas such as factories,

logistic sites, offices, and homes. While communication isProfessor of Kyoto University, has been studying for many years as afrom and collaborate with Kyoto University and that’s why we set up

Please tell us about the past collaborations
with other companies, governments, and universities.

becoming wireless, the power sources of IoT are mainly batteries

We did joint study projects with Kyoto University. We have also

battery replacement or wiring.

development of advanced devices.

or wires, and what is worse, large power usages require frequentcollaborated with other universities and research institutes inSo, we can supply power by utilizing our technology without any

hassle. Our technology can deliver about 1W power wirelessly up to
several meters away. We have developed various applications suchas wireless power supply to sensors near the blades of machine
tools and to actuators moving fast.

-19

Startup Introduction - 01

Space Power Technologies Inc.

Please give your expectations and messages
to the banks in Keihanshin area.
We appreciate their various support including introductionof potential partners and customers. We would like them tointroduce companies which hold excellent technologies or

those who can support us in order to exhibit our products to2025 Osaka Expo. .

Please give your expectations and messages to venture
capitals and companies that are positive about investing

I think startups in Keihanshin area would become much more

active if more and more venture capitals specializing in hardtech enter into business here in Kenhanshin, resulting inincreased fund providers in number.

Please tell us about the companies you are targeting.
Apple Inc..
Who is the business leader you respect?
Mr. Takuya Irisawa, President of Ecomott Inc..

in startups.

Who is the business leader as your mentor from Keihanshin

We plan to raise a large amount of capital in the second half ofarea?

2023. We would welcome investment by venture capitals thatcan support us in terms of business development (marketing,overseas, human resources, and IPO) as well as equity finance.

What challenges and issues do you face in financing in the
Keihanshin area?

Mr. Ryosuke Gonotsubo, COO/CFO, Thyas Co. Ltd..
Mr. Gonotsubo, who used to be a capitalist of Kyoto University

INNOVATION CAPITAL Co.,Ltd., is a former outside director of ourcompany. He helped me a lot when I started our company andhas continuously advised us since then.

I see there are still very few investors actively providing financeto the early-to-middle stage startups whereas there are quite

a few financial institution-affiliated venture capitals. However,-20

Startup Introduction - 02

Rehabilitation3.0 Co., Ltd.

Graduated from Kansai Medical

Please tell us about your company.

Technology College (currently Kansai

We, Rehabilitation3.0 are a startup founded in Osaka in

University of Welfare Science). Worked
in hospitals for 8 years as a licensed
occupational therapist. Established
Rehabili PLUS Co., Ltd. in 2012, andRehabilitation3.0 Co., Ltd. in 2019.
Conducts research and developmentof preventive medical systems using
rehabilitation skill and technology.
Contributed an article "ICT Deployment
for Visiting Nursing" to the journal 'Visiting
Rehabilitation.' Presented a joint paper
Hirokazu Masuda
Representative Director,
Rehabilitation3.0 Co., Ltd.

"Estimating Patient Independence with
Sleep Sensors" at "UbiComp," the mostdifficult international conference in thefield of AI and Ubiquitous Computing.
Won a prize in the "AI Business Creation
Idea Contest 2021" and was granted apatent (Patent Application No. 2020024812).
■ Business Introduction

Development of "SAA System" to estimate
capability of physical activities from sleep.

November 2019 under the philosophy of "Rehabilitation x
Technology for a healthy future for all.""Preventive medicine" is needed in today's declining birthrate
and aging population. It has three key components: earlyrecovery, early detection, and performance improvement,
but the social security system guarantees only "earlyrecovery" from illness and injury. What is the most importantis, however, "early detection" of health changes and"performance improvement" to prevent illness and injury.

We have developed and provided the "Sleep Activity
Assessment (SAA) system," which ensures quantitativeand easy assessment of health conditions, enabling early
detection and performance improvement.
How and why did you start a business?
Around 2014, after about 10 years of experience as an
occupational therapist, I have been able to tell whether apatient could walk just by watching his or her rolling overmovements. This is not a supernatural power, but something

an experienced occupational therapist can do. I have started
to believe there is a correlation between the capability ofphysical activities during sleep and the capability of exercise
and cognition during the day.

If this hypothesis is correct, I could spread my techniques tothe entire world by using AI and ICT. I have become motivated
to research and develop "Rehabilitation x AI."

-21

Startup Introduction - 02
In 2018, at a medical device exhibition, I found a sleep sensor
that could measure respiration, body temperature, bloodpressure, and pulse, which led me to the concept of theRehabilitation3.0 Co., Ltd.

What is the social situation surrounding your company
and the value you can provide in that situation?

"SAA System," using AI to estimate physical and cognitive

Japan is a developed country with super-aging population.

movement during sleep.

aging population in the world, and be 34 in eight years.

Later, I had an opportunity to speak directly with an executive

countermeasures attract attention from around the world.

Thereafter, I spun off the R&D department of Rehabili PLUS

Our strength lies in combining the knowledge, skills, andPoC (Proof of Concept) experiment with NTT DOCOMO, which

technology. The AI technology we have developed enables allcapabilities from heart rate, respiration rate, and bodyofficer of NTT DOCOMO, INC., who was intrigued by my idea.

There are currently said to be seven countries with superJapan is ranked at the top of super-aging population, whoseand established Rehabilitation3.0. We signed a contract for aclinical experience of Rehabilitation Medicine with thehave been successful up to now.

people to know their individual health conditions easily andPlease tell us about your business.

future.

We develop and provide the "SAA System," an applicationthat uses AI analysis of information during sleep to estimate

physical and cognitive capabilities and suggest remedial

measures such as exercise, stretching, and precautions. We
were the first in the world to develop this technology andgranted a Japanese patent.

It is a versatile technology, capable of AI estimation byacquiring information from all vital sensors, including those

inexpensively anywhere and anytime, and to have a healthy

The healthtech market is expected to exceed 300 billion yen

in 2022, increasing rapidly by 50% over 2017. Our goal is tolaunch the "SAA System" in Japan in late 2023 and globally in
2024. We aim for sales of 2 billion yen in Japan and 100 billion
yen globally, and an IPO in 2030.

Why did you start a business in the Keihanshin area?
Because I was born and raised in the area and am familiar

worn on bedding and wearable devices. In addition, we havewith it.

programs, which can make the best proposals according to

In addition, meeting entrepreneurs and engineers at

uniquely developed 1.2 million different health improvement
the physical characteristics and health conditions of the day.

the Osaka Innovation Hub has been a big benefit for thecompany's growth. Starting a business is like making a pathin the dark, which often makes us feel scared and weak in theknees. I have been encouraged many times by supportive
people in such cases.

-22

Startup Introduction - 02
Please tell us about the past collaborations

Rehabilitation3.0 Co., Ltd.
Please give your expectations and messages to companies

with other companies,that are positive about investing in ventures.

governments, and universities?

We are looking for companies that are willing to collaborate

We have jointly conducted PoC experiments with NTT
DOCOMO, starting with a joint development agreement for
the "SAA system" in 2020.

Please give your expectations and messages
to the banks in Keihanshin area.
We find the subsidies very attractive and hope to utilize

it more and more in future. We would also like them tointroduce companies that are willing to collaborate with us

on data collection from children to adults, existing services x
SAA, and PoC experiments.

with us on data collection from children to adults, existing
services x SAA, and PoC experiments.

Who is the business leader you respect?
Mr. Ryuhei Sadoshima, Representative Director & CEO, Safie
Inc..

Who is the business leader as
your mentor from Keihanshin area?
Mr. Kazuhiko Ito, President & Representative Director, BCC
Co., Ltd..

Please give your expectations and messages
to venture capitalists.
We plan to raise our first round of funding in spring andsummer of 2023. We would like to discuss the issues in order
to ask them to invest us.

-23

Startup Introduction - 03

Sagri Co., Ltd.

Graduated from Department ofPlease tell us about your company.

Mechanical Engineering and Materials

We, Sagri Co., Ltd., are a startup founded in Hyogo Prefecture

Science, College of Engineering
Science, Yokohama National University.
Established Uchu co.,Ltd., the firstprivate space education venture in
his third year of university, Sagri Co.,
Ltd. in 2018. Selected as one of the
MIT Technology Review's "Innovators
Under 35 Japan." Member of the "Study
Group on Management of Farmland
Shunsuke Tsuboi
Representative Director & CEO
Sagri Co., Ltd.

Information Using 'Digital Maps,'" Ministryof Agriculture, Forestry and Fisheries.
Visiting Professor, Professional Universityof Information and Management for
Innovation. 1st batch of student at
DMM Academy. 13th batch of student at
Softbank Academia. Selected as one of
the Forbes JAPAN's “Forbes JAPAN 30
UNDER 30 2022,” in the Social Impact
Category.

■ Business Introduction

Provision of applications using satellite data and AI

1̲"Actaba," for monitoring the farmland status: Visualization ofabandoned farmlandin 2018 with the vision "to achieve coexistence of humankind
and the Earth."

Humankind now faces a global food crisis and suffers fromclimate change. We aim to create the best environment andmechanism for humans and the Earth to coexist by "satellite
data x AI" to achieve a society where humans can live on the
Earth for granted in future generations.
Why did you start a business?
It was that I saw the environment with my own eyes in which
local children had to work on a farm without going to school
when visited Rwanda.

I had conducted a workshop on space for children as part ofthe educational activities of Uchu co.,Ltd. in my third year of
university. The children participated in the workshop withsparkling eyes, while they had to labor in the fields after
returning home. They had to give up their dreams and takeover the farm instead.

I wanted to help children with potential to achieve their

dreams. I have become motivated to support farmers indeveloping countries.

2̲ "Detaba," for improving the efficiency of crop surveys:
Visualization of cropping brands

3̲ "Sagri," for farm management: Visualization of fields conditions.
-24Startup Introduction - 03
Please tell us about your business.
We provide three applications using satellite data and AI.
The first application, "Actaba," for monitoring the farmland
status, visualizes abandoned farmland. It is used by
Agricultural Committee Secretariat and Chamber ofAgriculture in each municipality. The second application,"Detaba," for improving the efficiency of crop surveys,

visualizes cropping brands. It is used by Regional Agricultural

Revitalization Councils in each municipality. The third

application, "Sagri," for farm management, visualizes growthof fields and the conditions of the soil. We have developed

this application with a view to be used by farmers who growgrains including paddy rice and wheat and outdoor grownvegetables, as well as by the JA in each prefecture.

What is the social situation surrounding your company
and the value you can provide in that situation?

Sagri Co., Ltd.

"Actaba" and "Databa" can streamline farmland patrol

surveys. These applications have been introduced in about
70 municipalities.

Another major issue these days is the escalating priceof fertilizers. "Sagri" can contribute to determine theappropriate amount of fertilizer for each farmland, leading to
the reduction of dinitrogen monoxide, one of the greenhousegases, which can also contribute to the prevention of global
warming.

Every farmer is our target, which makes up one-third of
the world's population. We have already expanded ourbusiness into Thailand and Indonesia. The global agricultural
DX market is worth 150 billion yen, and the agriculturalmonitoring market is worth 2.1 trillion yen, which is a growthmarket with a CAGR of about 8%.

Furthermore, our technology attracts attention for its ability

Japan's agricultural issues include a decline in food self-

to achieve decarbonization. Of the 50 trillion yen global

dispersed farmland makes farming inefficient and increases

worth 6 trillion yen, in which we can target 900 billion yen.

as large as Shiga Prefecture. The Agricultural Committee in

We support farmers in the entire world as well as in Japan.

to visually check its status, followed by the preparation of

the earth unchanged for future generations. Our goal is tosufficiency and a decrease in the number of farmers. The

farmers' turnover, and the abandoned farmland is said to becarbon credit market, the agricultural carbon credit market iseach municipality needs to visit every dispersed farmland

We also want to achieve a decarbonized society and leave

survey reports, which is a very labor-intensive task. Our

provide farm management information to 100 million farmers
by 2030.

-25

Startup Introduction - 03

Sagri Co., Ltd.

Why did you start a business in the Keihanshin area?

Please give your expectations and messages to

The trigger was an adoption of the business of Uchu co.,Ltd

venture capitalists.

as a city promotion project in Tamba City, Hyogo Prefecture
in 2017, with the theme of regional revitalization in the
education field by utilizing the model rockets and drones.

Based in Tamba City, we have heard many concerns about

agriculture from local residents. We started the development
and commercialization of the product while learning about
agriculture from scratch.

Please tell us about the past collaborations with othercompanies, governments, and universities.
We have conducted demonstration experiments with several
municipalities including Hyogo Prefecture and Tamba City.

The Kobe City Board of Agriculture decided to introduce
Actaba for the first time in the Keihanshin area.

Please give your expectations and messages to banks
in the Keihanshin area.
We promote collaborations with the government andresearch and development of decarbonization technologies.

I would like to see if companies are willing to purchasevoluntary carbon credits, which are still not familiar in Japan.

I see there are few investors in the area of globalization anddecarbonization technologies, which we are focused on in

our business. I would like them to make investment decisions
such as impact investments actively.

Please give your expectations and messages to companies
that are positive about investing in ventures.
I expect business tie-ups with them not only just investment
in business synergies.

What challenges and issues do you facein financing in the Keihanshin area?
As financing is also available online, I see no problem forcompanies to raise funds in the Keihanshin area if we actively
communicate.

Who is the business leader you respect?
Mr. Masayoshi Son, Representative Director, Corporate Officer,
Chairman & CEO, SoftBank Group Corp.

Mr. Taejun Shin, Representative Director, Gojo & Company,
Inc.

Mr. Elon Musk, CEO, SpaceX / Tesla Motors

Mr. Mitsuru Izumo, President, Euglena Co., Ltd.

Mr. Yukihiro Maru, Group CEO, Leave a Nest Co., Ltd.

-26

Startup Introduction - 04

Metro Weather Co., Ltd.

Established Metro Weather Co., Ltd. in2015 while conducting research andeducational activities as an assistantprofessor of the Research Institute for

Sustainable Humanosphere, Kyoto
University until 2019. In addition tousing his knowledge of measurement,

control, and communications to develop

new radar observation technology,

involved in research directly connected
to solving social issues, and developed
a high-performance coherent Doppler
Junichi Furumoto
CEO, Metro Weather Co., Ltd.

Please tell us about your company.
We, Metro Weather Co., Ltd. are a startup founded in Kyoto
in May 2015 with the vision "to be the world's No. 1 windinfrastructure by observing and analyzing wind anywhere
under any conditions, and by continuously providing the bestsolutions." We aim to discover innovations and create newindustries in the field of atmospheric science.

We boldly challenge to develop advanced technologies
bringing about discontinuous technological innovation,with the following three goals: to discover potential needs to

Lidar which fully exploits developments

develop new markets; to create new value by discovering andtechnologies and devices. Also conducts

solve energy problems to contribute to global society.

application of the results of research in

How and why did you start a business?

in state-of-the-art measurements
many initiatives to bring about social

order to contribute to society. A doctor(informatics) and engineer at Kyoto
University.

removing true pains to be always close to customers; and to

It was when I conducted research on grated winds in the

Kosei area of Shiga Prefecture at university. When I tried tomeasure the wind over Lake Biwa using a Doppler Lidar tomeasure the wind direction and velocity distribution in the■ Business Introduction* Development, manufacture and sales ofatmospheric observation devices using
remote sensing technology.
* Marketing and the provision of solutions
combining meteorological information
and IoT.
* Provision of meteorological observationand prediction data, and information
supporting disaster-prevention
operations.

atmosphere, I was not able to measure it at all.

A new Doppler Lidar was quite expensive in the 2010s,
about 300 to 500 million yen per unit. I decided to start abusiness to produce my own device, with the aim to bringabout social application of the results of research, because
I had knowledge of developing new radar observation

technologies that utilize knowledge of measurement, control,and communications.

-27

Startup Introduction - 04

Metro Weather Co., Ltd.

I believe that a new industry will be created in future if we

Our unique technology makes our Doppler Lidar compact

it easier to be used in society.

ones yet whose measurable distance is twice competitors'

could provide a Doppler Lidar at a reasonable price to makePlease tell us about your business.
Our compact Doppler Lidar "Wind Guardian" and our highresolution wind forecasting system "Wind Foresight" enable

us to visualize wind conditions in cities, which are theinfrastructure of the skies, in real time. We support the safetyof drones and aircraft by measuring and predicting windconditions, and contribute to the environmental energy field
including the wind power generation market, as well as tothe disaster prevention field by predicting torrential rains andgusty winds.

What is the social situation surrounding your company
and the value you can provide in that situation?
Recently, the Civil Aeronautics Law has been revised inJapan, and the drone business is expected to expand. The
infrastructure of the skies is essential for drones to fly overthe skies, and the wind observation has also expanded its

demand. Furthermore, we expect the combination of ourunique weather forecasting simulations with them willcontribute in a wide range of fields, including urban disasterprevention, wind power generation, and aviation, marine andrail areas.

and lightweight, whose price is one-tenth of the conventional
ones, even in poor weather conditions making competitors'

ones unmeasurable. We work on further miniaturizationand development of a mobile-mounted Lidar (mounted on
vehicles, aircraft, helicopters, and drones) to meet the societyneeds. If introduced at regional airports that currently do not

adopt due to budgetary difficulties, it is expected to expand
the market more than 30 times its current size. We aim toenter it into the U.S. market in future, which has more than
10,000 regional airports.

In addition, as the measurement and management of windconditions resembles infrastructure businesses, I see ourbusiness goes well together with mobile phone industry, inwhich companies manage multiple base stations in various

locations. If we collaborate with mobile phone companies

to mount devices on towers and pylons at base stations,
we will be able to efficiently collect data over a wide area.

Building a relationship with the government, we also plan to

use the accumulated wind condition data for urban disasterprevention in future.

We aim for an IPO in Japan in 2026, followed by a listing on
the NASDAQ market in the U.S..

-28

Startup Introduction - 04

Metro Weather Co., Ltd.

Why did you start a business in the Keihanshin area?

Please give your expectations and messages

Because our business uses technology that has been

to venture capitalists.

researched and developed at Kyoto University for about 30
years.

I found geographic disparities when I first started my businesssince many venture capitalists and potential customers

are located in Tokyo, but in recent years, I see geographic
disparities are decreasing along with the popularization of
online meetings in society.

Please tell us about the past collaborations with othercompanies, governments, and universities.
In November 2020, we collaborated with NTT

Communications Corporation to build a real-timewind condition information system and conducted ademonstration experiment for the stable operation of drones.

Expanding our business to the U.S., we aim to be listed on the

U.S. market. We would appreciate very much their investment
in our company.

Please give your expectations and messages to companies
that are positive about investing in ventures.
We would like to work together and build a win-win
relationship with each industrial company.

What challenges and issues do you face in financing
in the Keihanshin area?
We necessarily tend to search first in the Tokyo area because
more venture capitalists are located in Kanto area.

As for government relations, we have collaborated with

Which company do you respect?

universities with Kyoto University, to develop new Doppler

Tesla.

Kyoto Prefecture, Osaka Prefecture and Osaka City, and for
Lidar and create new businesses.

Please give your expectations and messages
to the banks in Keihanshin area.
We are still a small startup, so would appreciate theiraccompanied support.

-29

Ambassador Introduction

Plug and Play Japan Co., Ltd.
Phillip Vincent, Managing Partner, East Asia /CEO of Plug and Play Japan
Phillip is the Managing Partner of Plug and Play East Asia and CEO of Plug and Play Japan, a subsidiary of Plug and Play

Tech Center located in Silicon Valley. He is also a board member of Plug and Play Asia region, focused on East Asia. In

2014, he started working at Plug and Play in Silicon Valley, headed both the IoT and Mobility verticals before moving toTokyo to launch Plug and Play Japan in 2017. Plug and Play Japan is focused on creating the largest innovation platform

in Japan, connecting startups and corporations worldwide with offices in Tokyo, Kyoto and Osaka.

Prior to working for Plug and Play, Phillip worked for Uniglobe Kisco, the U.S. subsidiary of KISCO, a large Japanese trading

company. Phillip was an Account Executive in charge of business development between Japan and the U.S. He graduatedfrom San Diego State University.

Foreign Investors' High Expectations for the Japanese Startup Market
Please tell us about the potential of andmore than 50 companies in Japan and nearly 70 Japanese

expectations for the startup market in Japan.

companies in Silicon Valley. Secondly, local governments

Compared to 2017, when our Plug and Play Japan officeand private organizations as well as the government have

was established, I feel that it has developed significantly.
Tokyo, the capital of Japan, is ranked high in the Global
Startup Ecosystem Ranking published by Startup Genome,a US-based innovation research firm.

made a concerted effort to support startups. Thirdly, thegovernment has provided generous support for startups toexpand overseas. Finally, universities actively invest in andgrow entrepreneurs. I see such a growing momentum asmentioned above in the domestic startup market.

Why are foreign investors so interested
in your business?
I believe there are four main reasons. First, major companies
actively collaborate with startups. We support open
innovation at major companies, and have partnerships with-30

Ease of Collaboration Unique to Keihanshin

Forming an Ecosystem in Keihanshin Area toarea (Kyoto, Osaka, and Kobe)

Produce Unicorn Companies

Now I would like to ask you about Keihanshin area. Plug and Play Japan

What do you think is necessary

has established an office in Kyoto next to in Tokyo. Please tell us why.

to produce more unicorn companies in future?

When we were considering the location of our second office, I have seen

I think we need three stages to support startups: to increase, to grow, anda growing momentum in the local government support for startups. The

to scale up. The first stage, "to increase," is to educate people to become

government of Kyoto City, in particular, enthusiastically talked to us about theentrepreneurs. We tend to think of becoming an entrepreneur as difficult, so weformation of an ecosystem community. I also found a sense of unity throughout

need to lower the bar. The second stage, "to grow," is to support the startups

the region as a characteristic of Kyoto, rather than a scattering of small

from the early stages of their business. We need to increase the number of angel

communities.

investors, accelerators, incubators, and other startup support organizations
like us. And the final stage, "to scale up" support is also important. In Japan,

Please tell us about some cases of collaboration in Kyoto

listing on Mothers is one way of exit, however, it can be a bottleneck so that

We run a global incubation program in collaboration with Kyoto Prefecture. The

few entrepreneurs aspire to expand their businesses overseas or grow beyond

program intends that MBA students and graduate students in Japan and abroad
can produce Kyoto-based startups by connecting students who are motivatedto run a business with them. We have continued similar projects for several

that. That is why it is necessary to create an environment in Japan that allows
companies to get Series C and D financing.

years.

Then, what do you think need to produce startups that

What characteristics do you feel are unique to Keihanshin area?

We need a system and community that attracts major companies and startups.

Everyone has strong feelings for their hometown. Proceeding a project toI think it will be easy for major companies to collaborate with startups to create

support a startup, I find that the managers and investors show great interestsin the project if they are from the same university as the representative of thestartup. We are an innovation platform, offering a system that attracts many
companies to facilitates innovation. In that sense, I find it easy to proceed withwill become unicorn companies in Keihanshin area?

innovation by using the 2025 Osaka-Kansai Expo as a milestone. It would benice to have an ecosystem where startups in Keihanshin area can meet advisorsand mentors and can collaborate with and be invested in by major companies
without going to Tokyo. We would like to cooperate to form a community.

various projects in Keihanshin area.

-31

Ambassador Introduction

JAFCO Group Co., Ltd.

Keisuke Miyoshi, President &CEO and Partner of JAFCO Group Co., Ltd.
Mr. Miyoshi has nearly 30 years of experience in startup investment and growth support.

His recent major investments include LayerX, Timee, and Zeals. Since 2013, he has been

overseeing the overall VC investments as director in charge of the domestic VC division,

including university-launched ventures such as Riverfield and Synplogen. He has been in

the current position since April 1, 2022.

Mizuki Takahara, General Manager of theWest Japan Branch and Partner of JAFCO Group Co., Ltd.
Mr. Takahara has been in charge of startup investment and growth support outsideof Tokyo. He was appointed the General Manager of the West Japan Branch (current

position) in September 2021 and Partner in June 2022. His major investments include
WonderPlanet, Microwave Chemical, and Next Innovation. In addition to his trackrecord of IPO and M&A exits, he also has fundraising experience. He is engaged in awide range of activities to support entrepreneurs in various regions, including theJapan Startup Support Association and the Startup Acceleration Program in Osaka.

Wave of Change in the Japanese Startup Market Caused by Changing Values
Mr. Miyoshi, you have been an active venture capitalist for many years.

the organization, and eventually grow the country. This value is changing in

Please tell us about the potential of and expectations

response to the wave of globalization. Each and every one of us has comefor the startup market in Japan.

to review our own ways of life. For example, an increasing number of people

Miyoshi : I have seen a very big change in the last 5 to 10 years. The mostsignificant factor is the changing values of the Japanese people. Our traditional
success model as a country has been to grow talented people throughout
society, who join good companies and work there for a long time to growappear to choose how they work based on what they truly want to accomplish,
such as joining a startup to take on a challenge. The growth speed of startups isaccelerating, which at the same time solidifies the foundation for globalizationin Japan.
-32

Keihanshin area (Kyoto, Osaka, and Kobe)

Activating the Ecosystem tothrives as geographic disparities decrease

Produce Unicorn Companies

It seems necessary to tell the world about the changes in the Japanese

What do you think is necessary to activate the Keihanshin area further,market. Now, please tell us about the potential of and expectations

which is characterized by many university-launched startups?

for the startup market in the Keihanshin area.

Miyoshi : I think we need collaboration of the government and local

Takahara : I think the area has great potential. More than 100 fundraisingcommunities in addition to support from universities. For example, the Port

activities take place each year, which is on a steadily upward trend and has stillroom for growth.
As remote work has taken root due to the COVID-19 pandemic, even if yourbusiness is based in the Keihanshin area, the geographic disparities in businessand employment opportunities have decreased. I believe that the area will

Island in Kobe has many research institutes as well as universities, which attract
people from various industries. I think the resultant concentration of start-ups inthis area invigorates interaction and eventually form an industrial cluster, which
attracts venture capital funds.

further demonstrate its potential.

Takahara : I think it all comes down to building a framework for disseminating

While disparities between Tokyo and the Keihanshin area have eased,

venture capital funds and industry-academia collaborations, I have highwhat characteristics do you feel are unique to the Keihanshin area?
Takahara : I think one of the characteristics is a large number of universitylaunched startups. Our investments include Kyoto Fusioneering from Kyoto
University, conducting R&D of advanced technologies to realize nuclear
fusion reactors, Microwave Chemical from Osaka University, conducting R&D
of microwave chemical processes, and Synplogen from Kobe University,
conducting R&D of DNA synthesis technology. Each university has its own
unique characteristics and enhanced support systems, resulting in the birth of
unique university-launched startups in recent years.

research at each university. As we are seeing a number of university-affiliatedexpectations for the situation to improve.
I think the story behind the founding of Kyoto Fusioneering, a Kyoto Universitylaunched startup, gives us a hint. Originally, research on nuclear fusion
technology had been ongoing for many years in the university. The professor,
who was motivated to start his own business, met his co-founder at a matching
event between researchers and businesspersons. I think the success rate ofuniversity-launched startups and the number of researchers starting up abusiness would increase if we integrate databases of researchers and university
alumni professionals. I hope to see a number of startups expanding overseas
from the Keihanshin area.

Miyoshi : Each area of Keihanshin has its own unique culture. As the three areas
are not far apart, their respective cultures and people interact with each other,
forming new values. I believe that this leads to the creation of something thatnever existed before.

-33

Future Prospects
Support Phase to Help the Birth of Unicorn Companies
Accelerate the birth and growth of globally active startups.
Support the birth and growth of startups taking advantage of the Expo and continuously work
toward the future through collaboration with Osaka, Kyoto and Hyogo-Kobe under KansaiStartup Mashups.

Commercialization of University
Research Seeds

Matching with VC and CVC

Cultivation of Globally Active

Matching with Chief x Officer

Entrepreneurs

Human Resource Candidates

Regional Collaboration to

Networking with Overseas

Support Startups

Investors and Supporters-34

& youKyoto-Osaka-Kobe Startup Ecosystem