Tentative
Translation

Analysis on Prospect of Ecosystem
Formed with Progress of AI Network

Attachment 3

Objectives and Contents of Prospect of Ecosystem1

 Objectives
 Objective as a base for the discussion for the promotion of theimplementation of AI in society
 Objective as a base for the policy consideration in the Committee
on AI Economy

 Contents(1) Analysis of the survey of the latest trend of the utilization status of AI(2) Polishing perspective of the utilization of AI(3) Analysis of impacts on society/economy due to the utilization of AI(4) Case studies on the implementation of AI in society

The entire picture

2

Image of the entire tasks and backcast approaches
Progress of AI Network

Time

Development in Information and Communication field
Impact(1) Analysis of the survey of thelatest trend of the utilization
status of AI⇒ Existing reports(future forecast)

Forecast basedon the latest
trend

ImpactImpactForming complex ecosystem through AI networking≪Category≫
IndividualsEnterprises
Administration

Short-term (～around 2025)
Medium-term (～ around 2035))
2( Polishing perspective of the utilization of AI(3) Analysis of impacts on society/economy due to theutilization of AI

Individuals・Enterprises(Workstyle/How tospend leisure time)≪Cases ≫？？

(Social)(Economic)

？？

？？

？？

？？

？？

(Legally)(Technically)？？

？？

Transfer
HealthNot covered
Benefits
Finance
Crisis management(4) Case studies on the implementation of AI in society
Manufacturing
IssuesResidential
EnergyBackcast
based oncomplexecosystem

Analysis Policy on Perspective of the Utilization of AI

Prospect of Ecosystem Formed with Progress of AI Network

4( Corresponding to (2), (3))1) [Attachment 3-1] Focusing on the AI utilization and looking at the scene of the AI utilization in terms of bothconsumers and businesses. In the perspective of AI utilization, the utilization scenes are classified as follows:<Classification of AI utilization scenes>

End-users

Personaluse

Outdoors
Indoors

Corporate use

Use in urban areas

Use in rural areas

Use at home
Use in research Use in manufacturing/
construction
and development

Use in distribution
and sales

How to workand spendleisure time

Common use (people, goods, and money)
Government use

National government/local government use

Analysis as a world view of where
AI has been fully utilized.

(Prepared based on Attachment 2 “Prospect of Ecosystem Formed with Progress of AI Network” of the Conference
toward AI Network Society 2018 Report. The red letters are the parts added to 2018 Report.)( Corresponding to (4))2) [Attachment 3-2] Based on the the utilization scenes the above mentioned 1), case studies on implementationof AI in society were conducted, and the benefits and issues were pointed out.

Case: Transfer (fully autonomous driving)Case: Health (medical care/nursing)Case: FinanceCase: Crisis management (crime prevention, public infrastructure, and disaster prevention))
Case: Manufacturing
Case: Residential
Case: Energy

Contents of Implementation of Survey/Analysis (1/2)
Contents of implementation of analysis
Contents of research [Corresponding to contentsof implementation (1)]Contents of analysis (output)[Corresponding to contents of implementation (2) (3)](1) Perspective of the utilization of AI

AI related roadmaps

Apps that utilize AI Examine the status of realization of utilization scenes
published on the past reports, referring to roadmaps, etc.
 Based on the latest utilization application of AI, review theutilization scenes to be published in line with the following
policies.
 Extract utilization scenes of various realization time
(Review in the viewpoints of forecast and backcast) Extract utilization scenes related to attention-grabbing
keywords[Corresponding to contents of implementation (4)](2) case studies on the implementation of AI in society

Benefits and issues
in the utilization of AI

 Extract the benefits and issues characteristic of each case,
based on the research results of benefits and issues
brought about by the utilization of AI

5

Contents of Implementation of Survey/Analysis (2/2) [Corresponding to contents of implementation (1)]6Regarding technology and its progress in society, the utilization scenes of AI and case studies were polished, digging deep
into various books and news articles for supplementation based on the AI-related roadmap/strategies in the government.

■Information source (1): AI related (Partial)
発表元

Classification

Entire domains

AI Strategies 2019

Jun. 2019

NEDO

Roadmap of R&D Goals of AI and Industrialization

Mar. 2017

MIC

Subcommittee for Making the Future of the IoT New Era, Tech Strategies to Catch the Future

Aug. 2018

MIC

Interim Report from Information and Communication Council in response to Inquiry about Ideal
State of New Information and Communications Policies for the IoT and Big Data Era (No. 23 of 2015)
Interim Report from Information and Communication Council in response to Inquiry about Ideal
State of New Information and Communications Policies for the IoT and Big Data Era (No. 23 of 2015)

Jul. 2017

Roadmap of Promotion of Implementation of Regional IoT (Revised）

Apr. 2018

The Vision of Future in society through the development in Science and Technology

Nov. 2019

MIC
MEXT

Domain of individuals

Announced dateCabinet Office

MIC

Administration

Roadmaps/Strategies, etc.

MIC

Medical care/
Nursing

MHLW

HealthcareStandardization in the operating process/system in local governments andSociety on Utilization of AI/Robotics (Smart Local Government Society）
AI Development Acceleration Consortium in Health/Medical Care Field Document Reference 3

Jul. 2016

May 2019

Arrangement of AI Development Acceleration Consortium in Health/Medical Care
Field Discussion and Future Directivity and Future Directivity”

Mar. 2019

METI

Future Ideal Medical Care/Welfare/Nursing Fields in 2040 and survey
on formulating the roadmap, etc.

Oct. 2019

Transfer

Cabinet Office

ITS Concept for Public and Private Sectors/Roadmap 2019

Jun. 2019

Manufacturing

METI

Smart Factory Roadmap

May 2017

Construction

MLIT

The Study Group for preparing the establishment of AI Development Support Platform

Aug. 2019■Information source (2): Books and news articles, etc.

They were utilized for dig deep or supplements, etc. of the utilization scenes provided in Roadmap/Strategies, etc.

Attachment 3 - 1① Perspective of the utilization of AI(Note) The perspective of the future utilization of AI is described here even if the realization is expected to be difficult on the premise that the laws and technologies
and researches available in practical application at the moment are used. In addition, economic costs, etc. need to be considered in practical application.

Notes in Analysis of Prospect of Ecosystem• Timing of Implementation of• utilization scenesAI Should be a timing when it’s launched without
considering the spread of services and fullness offunctions.

What has already been put to practicaluse/ Things that are likely to berealized shortly (by around 2025)• Positioning the utilization of AI in theprovision of services

 Position the advance of technology andplatforming as the sub-structure of services
 Advance of technology is considered byextracting the utilization scenes, referring to
the roadmap, etc.
 Changes in business models (platforming), etc.,
will be explained in the part of analysis ofeffects, not in the part of the utilization scenes.

Services• Analysis of the sub-structure

Personal
Use

Outdoors

Use in urban areas

Use in rural areas

Can beinvolved in theutilization ofindividuals if
it’s ToC.

Use at home

Indoors

Corporate use

Medium term
(up to around 2035)

Use inin R&D

Use inManufacturing/construction

Use indistribution
and sales

Use inservices

Common use (people, goods, and money)

Governmentuse
Sub-structure Services for individuals can be involved in theutilization of individuals
 In case AI is utilized in a corporation to provide
services, it will be involved in the process orcommon.

AI

8National government/local government use

Advances in Technology (⇒ See Roadmap)
Platforming (⇒ referred to the analysis of effects)

Can be involvedin the process,etc. if it’s used
in a company.

AI Utilization Scene (Example): Individuals (Urban Areas)
Transfer

Nursing

MaaS: Mobility as a Service

 The flexibility of transfer and the convenience will be remarkably improved
due to MaaS, and the effective utilization of travel time can be accomplished
due to the realization of fully autonomous driving.
AI

AI

Ease the labor load due to partial realizationof autonomous driving of long-distancetrucks/buses (truck platooning)AIAI

 Providing self-reliance support depending on the status of living and healthstatus and pickup and drop-off services, using autonomous cars andutilizing nursing robots can make up for the shortage of labor.

Nursing assistance by fullyautonomous robots

AI

AI

AI

Utilization of travel time byrealizing fully autonomous
driving/reduction in artificial
mistakes such as traffic
congestion

Support for
judgment of
merging withthe traffic onhigh ways

AI

AI

Pickup and drop-off
services to nursing
facilities using
autonomous cars

AI

Provision/preparation of optimum
nursing care plans depending on thestatus of living and health status(including self-reliance support)

Simulated experiences of history
linked to the VR/AR according toAIhobbies/tastes
All the itinerary from going out to coming
home can be concluded empty-handed (canbe concluded with face authentication

Facilitate communication withforeigners through multilingualtranslationAI As soon as you plan optimum trips, travel tickets will be automatically
prepared and you can enjoy sightseeing without any trouble with baggageor languages through face authentication and translation.

Tourism/Travel

VR: Virtual Reality
AR: Augmented Reality

AI What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

AI

Implement effective remoteeducation through data dietusing AI in a limited
communication band

Dialogue with AI speakers (Life/selfreliance support)
Utilization of butler robots

AI

AI

Provide wearable robots(wearable type robots, robot
suits) for people in need ofnursing care by expanding
AI physical abilities
AI

Proposal on the travel routes and time zones, being
conscious of contact inhibition by autonomously
collecting/showing the travel records and the healthstatus at the time of traveling
Proposal for travel plans according to travel records in thepast, hobbies/tastes, and implementation of procedures

9

Medium term
(up to around 2035)

AI

AI
Provision of learning contents according to your own
capability, aptitude, etc. in collaboration with study at
schools, cram schools, and home (necessary learning Support for reemployment
can be carried out regardless of places and grades)
after retirement and support
AIAI

for lifelong learning

Provision of optimum
contents for learning skills(including the know-how ofskilled people andinheritance of intelligence) Optimum learning contents can be provided as well as optimum contents tolearn skills required for learning necessary skills in cooperation with schools,
cram schools and homes.

Education/Fostering HR(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Individuals (Rural Areas)
Medical care

Transfer Means of transportation for seniors’ going to a hospital or shopping can be
secured by the realization of autonomous driving, etc. and the transportation
network such as route buses can be maintained.
Resolve the problem of theshortage of bus drivers byadopting fully autonomous
driving of fixed route buses

Realization of Fully autonomous drivingcars and walking support robots will
enable seniors, etc. to go out easily.
(Securing means of transportation)
AI

Secure a traveling method withoutAIdepending on the infrastructure byusing a flying car
Automatic transportation of
baggage for shopping refugees
by delivery drones, provisionAIof unmanned transfer-type
AI automated supermarkets

 Diagnosis by remote medical care or prognosis by robots, etc. can be possible
in the areas where there are not specialty doctors. AI/robots can cope withthe shortage of human resources such as medical care/nursing caregivers.
Remote medical
examination throughmedical images.
AI

Matching with specialty doctors inemergency transport throughadjustment among AI systems,
Setting of optimum routes
Prevention and medical treatment
considering the differences between
individuals based on DNA analysis
AI
AI

AI

Cultivating by automatedtractors and drones,
Automation of work such as
planting, etc.

AIAI

Utilization of AI speakers andbutler robots
AI

Monitoring of growing situations of crops
and prediction of harvest

AI

High accuracy in fish detection
depending on the weather andthe change in the temperatureof sea water, etc.

AIAI

24-hour reception/automatic
response through thereception site on the Internet

 The shortage and aging of human resources can be addressed through theautomation and streamlining/sophistication of work in agriculture andfishing, etc.

AI

Utilize information such as the status of
power use, judge if it’s a vacant house,
and automatically detect a suspicious
person by installing a surveillance camera

Remove snow onsidewalks and privatehouses by snowremoving robots
Detect the failure of aged
infrastructures, figure out thestatus and take the first aid at
the time of a disaster by using
robots such as drones

 Maintain or improve the living environment by utilizing robots, even if thebudget and human resources are short.

Living environment

Work
What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

Give first aid to remote islands and semimountainous areas through the usage ofa drone and medical care robot, etc.

AI

AI

AI

10

AI

Medium term
(up to around 2035)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Individuals (at Home)
Healthcare From DNA information, health information, and daily conversations, it will bepossible to offer suggestions for improving lifestyles, preventing diseases, andimproving mental health, as well as being able to receive medical treatment
remotely at home.
Advice for maintaining health basedon the results of DNA analysis by AI.
Provision of content and proposals foractions for mental health understandingAIand improvements.

AI

AI

Recording daily physical conditions in apps andconstantly monitoring implant terminals or sensors toprovide information voluntarily when going to a live
venue or a department store or make an AI analysis.

Providingentertainment
content according
to each user’s
preference.
AI

Suggestion of watching over theelderly and children, replacing
furniture and introducing auxiliary
equipment by utilizing living
AI information, and supporting
independence of the elderly.

AI

AI

Medium term
(up to around 2035)

Automatic ordering and delivery
depending on the stock status ofingredients and daily necessities
using smart refrigerators.

Automation of recipe suggestions basedon health status and DNA analysis
results, depending on consumer
preferences and internal sensors.

AI

AI

AI

AI

AI

Smart speakers and butler robots
integrate and manage healthcare data
and daily life data for use in various
situations at home.

 In addition to being able to propose an environment in which elderly and children
can spend safely, it will be possible to adjust the comfortable temperature,humidity, smell, lighting, etc. depending on the location and mood of each person.

What has already been put to practical use/
AI Things that are likely to be realized shortly(by around 2025)

 In addition to automating almost all household chores, shopping can also be
automated (automatic ordering by butler robots and automatic delivery tohome by drone).

AI/Robot automation of allhousehold chores.

Automatically adjusts various environments AI
in the room depending on the resident’s
age, physical condition, and mood
(temperature, humidity, smell, lighting,BGM, the height of chairs and beds,
changes in the interior by holograms, etc.).

Safe and comfortable living environment

Housework

AI

AI

11

AI

Daily conversation with AI that cancommunicate at the same level as
human beings and give the advice
to enrich various lives throughconversation.

Proposal of marriage partner image
and asset management proposal
depending on personality

AI proposes side jobs and volunteer
activities suitable for individuals
based on career, schedule, and lackof resources around (utilize freetime by automating housework).
AI

AI capable of communicating at the same level as humans will enable to make optimum
proposals in all aspects, such as daily life, turning points in life, and asset management.

Lifestyle(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Enterprises (Research & Development)
Research

12

Development

 You can effectively reach optimum solutions due to materials informatics. In
addition, further streamlining and new findings can be created when simple
human work is replaced by robots.

Automatically find scientificprinciples/solutions for certain
problems
Material forming in aquick response tocustomers’ requests
AIAI

 AI can learn the latest fashion, technologies, and theory and device theconcepts of products or food recipes that humans never think of.
AI can learn successful cases in the past andAI social issues, etc. and devise popular
products and the concepts of services.

Predict composition of materials andoptimum structure of elements
AI(Materials informatics)
AI

Support planning of products andbrainstorming at the time ofdevelopment

AI

The number of times of experiments for
simple work and cyclic operation will be doneby robots or AI, and the number of times ofexperiments will increase.
(The total number of times of necessary
experiments can be reduced by using AI.)AI can propose thecontents to pass screening
and structure at the time ofsubmitting theses andpatent applications

AI

AI that has adopted fashion
and artisans can develop
products

AI

AI

AI

AI

AI

AI

Various types of information for R&D and
The survey of patent information in Japanbusiness strategy planning are effectively
and overseas is implemented by AI andcollected and analyzed by AI, so humans
humans can focus on determination.
can choose the best one out of options.
 Researchers can focus on interpreting and conceiving when AI search load public
information such as theses and patents, and support for making a choice.

Business entities to cooperate/ collaborate
or specific ways of cooperation will besuggested from specific fields, resources,
and knowledge databases.

Contents of various activity records of employees(daily reports, e-mails, location information,
voice, etc.) are analyzed and customer needs andmarket trends are grasped..

 R&D can be streamlined and sped up when knowledge remained in acompany or outside the company (various fields) are combined.

Common (Integration of knowledge)

Common (streamlining)
AI What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

High performance will be exhibited whentacit knowledge (knowledge of experts andexcellent workers) becomes explicit and isanalyzed.

AI

Medium term
(up to around 2035)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Enterprises (Manufacturing/Construction)
Design13

Production Planning Consideration of product designs and facility layout, etc. can be streamlined
and designs, etc. that humans didn’t notice can be found.
Profiling of target customers,
proposal of some designplans based on the data usedin similar productsAI
Design products/facilities
that meet safety standards
by conducting a simulation
based on various
environmental conditions,etc.

Analyze traffic lines atworkshops as well as support
work at factories/ construction
sites, and give instruction to
improve work efficiency

Consider optimum facility
layout, etc. based on the flowof people, consumption data,etc. in the area
AI They can make a production plan to maximize profits to streamline the work
concerning production plans.
Learn facilities, delivery dates,
plans in the past, etc. and make
optimum production plans, etc.
Adjust production volume
and manufacturing costsAI
based on supply-demandAI
prediction.

AI

AI

AI

AI

AI

AI

full automation of
manufacturinglines/construction sites

Automatically detect defective
products by checking video
images, etc. and remove themfrom the manufacturing line.

 Solving the shortage of human resources, streamlining of tasks, andstandardization of quality will be realized due to the work support or
replacement by robots, etc. will be realized.

Order forms for many
contractors and delivery
information, etc. based ondelivery control (request, etc.)

Search and recommend
optimum parts,
materials, construction
materials, etc.

Automatically negotiate
and adjust conditions suchas prices with prospective
customers forparts/materials, etc.

 Searching ordering sites and tasks for delivery management will be
streamlined. In addition, strategical work such as contract negotiation will
be able to be sophisticated.

Procurement

Manufacturing
AI What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

AI

AI

Prepare building
certification
application, etc.
automatically andapply automaticallyAI

Medium term
(up to around 2035)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Enterprises (Distribution/Sales)
Logistics

Advertisement

 By utilizing AI, unattended warehouses, and crewless transportation can berealized. AI will also be used for overall distribution management, which
will enable delivery services that are difficult to perform manually.
Unattended logistics operations inwarehouses by utilizing AI-equipped robots
and automated guided vehicles (AGVs).

Crewless transportation by realizing fully autonomous
driving and delivery services that are not possible
manually.

AIAI

 By utilizing AI, it will be possible to make further improvements in the budget
allocation and planning of advertisements, the customization of delivery
contents to suit customers, and the measurement of advertising effectivenessAI’s automatic generation of digital advertisements
depending on each customer’s
hobbies/preferences. (Changing the content andthe people who appear in the advertisements
AI
depending on the distribution destination.)

AI comprehensively measures the effect ofadvertisements based on the degree of SNS
and blog coverages as well as the view rateand click rate.

AI

AI budget allocation and plan
decisions (how much money tospend on which media, at whattime, etc.).

AI
AI

Management of entire distribution by AI (demand forecast, inventory adjustment,delivery route optimization, transportation resource arrangement, etc.).

AI

Feedback based on customers’
voices to AI and people in eachvalue chain

AI
Personalized after-sales follow-up based oneach customer’s hobbies and preferencesusing AI (Apologies and sending of gifts, etc. AI answers to questions and complaints by email andthrough chats and supports inquirers at call centers.
depending on the generation).

 AI will replace inquiries to call centers or by email and chats, and in the future,
customer feedback will be automatically fed back to AI in each value chain.

After-sales service
What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

Shopping through remotecontrol robots andshopping through virtual
space experience.

AI

AI

AI

14

AI

Shoplifting prevention
and trouble detection
using AI cameras.

AI

A completely unattended store that utilizes AI, robots, RFID, etc.
(stocking is also done automatically, and dynamic pricing with AI).

 AI is used to automate simple tasks in sales operations and simple customer
service/guidance, etc., and people will handle troubles and other tasks where
advanced customer service is required.

Sales
AI

Medium term (upto around 2035)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Enterprises (Common)

Goods (Office Environment)

Humans Human resources evaluation and human deployment using AI will bepossible in a short-to-medium term. In a medium-to-long-term, AI will
manage them based on project-based organizations and working at home.
Performance appraisal
support and talentevaluation

Transition from thehierarchy-based organization to theproject-based (job-based) utilizing
matching/ management optimumAIfunctionsMonitoring of the concentration ratio, physical conditions,postures when employees’ working, using wearable
devices, and giving advice for their break and feedback to
improve the office’s environment (on the premise of
SOHO (small office home office) and project-basedorganizations)

AI

AI

Proposal and support of optimum
ways and conditions of raising funds
considering the company’s financial
situations and financial outlook, thetrend in finance/stock markets, andthe trend of competitors.

AI
Work automatically/remotely doingroutine tasks by introducing electronic
signature and electronic signing

Assume BCP measures at thetime of outbreak of infectious
diseases and give instructionsAI
on the position to sit based on
Automatic management of theeach person’s role and work (onsetting of air conditioning by certain
the premise of a free-address
area of an office depending on thesystem)taste of employees in the area
Realization of effectiveAI
remote work throughproposal of a working
place for remote workand building theenvironment for virtualspace

Marketforecast

AI
Automated negotiation on
prices in entering into acontract Electronic signature and electronic signing will be common, and the fully
unmanned system of accounting/financial business using AI and the decisionof price negotiation and ways or conditions of financing by AI will be possible.

CustomersurveySupport for business
management based on
prediction/analysis of various
fields (proposal of theAI
directivity of strategies,
pointing out issues enterprises
have and the points enterprises
have overlooked, etc.)

Trends In
competitors

Realization of effective detailed
online general meetings ofshareholders through effective Q
and A and supplement of thecontents of presentations, etc.

Management
Support Visualization of information and multilateral analysis of various external
information (market trends, the trends of competitors, etc.) will make thesupport for optimum management judgement.

Information

Money
What has already been put to practical use/Things that are likely to be realized shortly(by around 2025)

 More efficient remote working will be possible by AI’s proposal of the placeof remote working and doing environmental support and building at virtual
space.

AI

AI

AI

15

AI

Medium term
(up to around 2035)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Administration (National Government/Local Government)
Administrative affairs / execution(national government)

Policy making (national government) By AI’s analyzing various types of information and stakeholders’ opinions
and formulating policies, and streamlining and total optimization will bedone, and agile-type administration will be realized
Perform a simulation of the effects offinancial policies and monetary policies byusing macro/micro statistics and real-time
data, and formulate optimum policies

Policy making by analyzing policy
trends in other countries andoptimizing them in JapanAI
AI will analyze regulations andadministrative documents concerning thebill to be formulated, and analyze theconformity of the bills to be formulatedAI
and related regulations, etc. and formulatea billThe opinions of interested people
are accepted when formulatingAI
policies or after executing them, andadjustment is optimized instantly.
AI will analyze various types of datasuch as economy trends and theneeds of citizens, and formulate
administrative planning differentiatedfrom other cities, satisfying the needsof residents. Tax rates for fixed
property tax, resident tax will be
determined.
AI will propose external
resources concerning policy
implementation, andstreamline budget request
related tasks by acquiring an
estimate automatically.

AI

AI will analyze documents such as Diet’s meeting
minutes and trial cases at the request from business
entities, etc. and interpretation of administrative laws
will be clarified in annotations, etc

AI

AI

AI
Formulate behavior simulation andevacuation planning based on people flow
data and population statistics obtained
through sensing devices, etc. at the time ofdisasters

Policy making(prefectures / basic municipality)
What has already been put to practical use/ AI
Things that are likely to be realized shortly(by around 2025)

Support for determining
conformity to regulations
such as patent application
and building certification
application, etc.

AI

 Tasks concerning policy making will be streamlined and policy making skills
will be improved by AI’s analyzing various big dataAI

 Tasks will be streamlined by AI’’s interpreting and authorizing, etc. , soquick response to enterprises, etc. will be realized.

AI

AI

16

Medium term
(up to around 2035)

AI
AI

AI chat robot will respond toinquiries from citizens andstreamline counter services

Traffic volume of cars and pedestrians
will be analyzed and predicted, so thefares of public transportation andgeneral vehicle approach areas can be
adjusted in real time.
AI speakers will be introduced to thehouseholds of isolated people, andneeds and situations will be grasped
in detail. Cooperation with local
residents and organizations will be
adjusted if needed, and sensitive
services will be provided for citizens
even in a situation of downsized civil
services.

 The satisfaction level of residents will be improved due to the streamlining ofadministrative affairs, promotion of cooperation, and real-time optimizationof the ideal situation of towns, etc.

Administrative affairs / execution(basic municipality)(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

AI Utilization Scene (Example): Individuals/Enterprises (Workstyle/How to spend leisure time)

17

How to spend leisure timeWorkstyle The utilization of AI will bring about more free time because our work can bestreamlined.
◇Propose subdivided work (actions) just by setting goals◇Support by a personalized secretary (no miscellaneous duties)◇Streamlining simple work using AI or robots

 How to spend increased leisure time will be fulfilled◇Propose how to spend leisure time by setting goals◇Propose new hobbies and experiences depending on personal experiences or emotions◇AI speakers will recommend topics based on the family’s interests.

Leisure time Disseminate remote work and realize workstyle beyond physical space Labor supply-and-demand matching beyond enterprises and national borders
will be done.

◇Dissemination of remote work (TV conferences/VR conferences)/establishment◇Formulation of projects depending on individuals’ capabilities, actual results, free time/job matching◇Participation in global projects by utilizing multilanguage translation via AI◇Work/experiences beyond space using Telexistence Opportunities to relearn utilizing increased leisure time will be provided.
◇Relearn using learning contents provided depending on individuals’ hobbies/interests◇Vocational training and relearn for career enhancement that matches work experienceand employment placement◇Vocational training for career enhancement

Capabilities/
Actual results Human capabilities can be expanded due to the utilization of AI/robots, etc., and you can participate in society, provide values and have experiences that had notbeen done due to the restriction of time/space/regions/physical abilities.

◇Adding value work beyond human capabilities by expanding ◇ Volunteer activities (pro bono activities, etc.) by ◇Travel experiences using VR and Telexistence robots
capabilities
Telexistence robots, etc. in developing countries ◇Extended healthy life expectancy by expanding physical abilities◇Participate in society by expanding abilities regardless of physicalabilities(Note) Some examples of expected utilization are described.
Examples are described with a view to the possibility ofutilization without assuming the current system.

Effects/Goals of the Utilization of AI (example): Individuals/Enterprises (Workstyle/how to spend leisure time)Workstyle Everyone can make a transition to creative work, and individuals’
capability and income will be more linked.
 The “trust” and “actual results” of individuals will determine theirincome. In addition, the trustworthiness and actual results will bequantified, and they will create value like the currency.
 People’s workstyles will make a transition to project-based workstyles
beyond boundaries of enterprises, and freelance work and sideline
business will increase. (The premises for employment structures andformulation of projects will change)
 Regardless of their background (the company they belong to, residentialarea, age/gender, disabled or not), they will be able to freely participate
in society, using their capability and hours (ageless/genderless, etc.)

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How to spend leisure time They can decide where to live and how to use based on private life
without the restriction of their job.
 They can keep learning something new without having the
restriction of time and places.
 The free time will definitely increase, and people will think what isreally important for humans.
 The costs necessary for living will decrease, and the consumption
where they can feel value will increase. (Pursue of their own way
and new experiences)

Trust/
Actualresults

 “Work for living” will be minimized, and people will be involved in labor and social activities in the scope of mission andhobbies.
 Everyone can lead a fulfilling life, expanding their capability by utilizing AI and requesting others for cooperation andadjusting their opinions by utilizing AI, and the degree of freedom of participating in society will expand by utilizing AI.
 They will live in a place where income and living costs are well-balanced, and adjust the living environment they put
priority on, then think about “what is really necessary for humans (themselves)” and invest their time and costs on them.

Attachment 3-2②Case Studies on the Implementation of AI in society○ Transfer (Fully autonomous driving)○ Health (medical care/nursing)○ Finance○ Crisis management (crime prevention, public infrastructure, and disasterprevention)○ Manufacturing○ Residential○ Energy

Case: Transfer (Fully autonomous driving)

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Expected benefits (example)• Humans will not need to drive, and travel time can be effectively utilized when traveling by car.
• Older people and people with disabilities will be provided with a convenient means of transportation, which will allow them to go to the hospital or go
shopping smoothly.
• People will not need to drive long-distance trucks or long-distance buses at midnight or early morning, and they will be able to review their workstyle andwork-life balance.
• In particular, problems such as a shortage of drivers for route buses in rural areas can be improved, and the abolition and reduction of routes can be
avoided.
Expected issues (example)
Before realization

After realization

Society• It is unclear whether autonomous driving is technically secureor who is responsible for accidents if any. Therefore, there isa possibility that the service will not be accepted due topeople’s feelings of resistance to autonomous driving.

• The flow of using the time devoted to commuting and attending school for otherpurposes will be created. As a result, there is a possibility that the places andlifestyles of individuals will change significantly.

Economy• In the case of infrastructure-coordinated autonomous driving,infrastructure may not be developed in local governments
due to tight budgets, and there may be regional disparities inthe spread of autonomous driving. • Employees related todelivery and transportation services may be reduced, making
it difficult for them to find other jobs. Implementation of AI
cannot be accepted socio-economic as a whole.

• Automakers, which are becoming increasingly popular, can secure a lot of postsales learning data, which may hinder the entry of newer automakers.
• The lack of driving by humans could significantly reduce the accidents that havepreviously occurred as a result of human error and would require a significant
change in automobile pricing for insurance.

Technology• AI may behave unpredictably with respect to data not belong
to the training data. In addition, even with using accurately
trained AI (model), we may not avoid erroneous recognitionand derecognition.

• AI may not be able to respond to changes in the world after their deployment. •There is a possibility that proper operation cannot be performed because
negotiations and adjustments cannot be made between cars. • If the AI system
is hacked, not only will the autonomous vehicle not function properly, but it may
also affect other autonomous vehicles via the network one after another,resulting in accidents and traffic disruptions.

Law• The black-boxing of AI may make it difficult to establish thelegal responsibility for autonomous driving, which may makeit difficult to form a consensus with automobile
manufacturers and users• In addition to domestic legislation, coordination with other countries will benecessary, and it will not be possible to deal with the current legal system alone.
Each automobile manufacturer may be forced to take new measures.
(Note) Some examples of expected benefits and issues are listed.

Case: Health (medical care/nursing)

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Expected benefits (example)• By making a DNA and lifelog analysis with AI, it will be possible to give detailed advice for improving the health depending on the individual’s healthcondition.
• An AI chip embedded in the body collects information on the body and analyzes it, enabling early detection of abnormalities and diseases.
• Image analysis using AI will lead to the early detection of illness and improvements in the prevention of oversight. It will also contribute to reducing theburden on doctors and solving problems, such as doctor shortage and uneven distribution.
• By expanding the physical capabilities of wearable robots (wearable robots and robot suits), older people with physical disabilities and care recipients canlive independently.

Expected issues (example)

Before realization

After realization

Society• Considering the accuracy of AI diagnosis and people’s trust in AI,
if the diagnosis is left only to AI judgment, it may not be possible
to obtain the patient’s understanding.

• Older people, their families, care workers, etc. may not be able to understand theproper usage of wearable robots fully.

Economy• In the medical field, a high degree of medical knowledge isrequired to create training data, which may impose an excessive
burden on doctors.

• With the spread of wearable robots and AI chips embedded in the body, morelearning data will be collected, which may create an oligopoly market.

Technology• If the standardization of medical information/healthcare
information system/data format does not make progress, thedistribution of data, such as medical information, may behindered, and AI training based on large-scale data may not
progress.

• There is a possibility that the AI system will become a black box, and medical doctors
will not recognize or understand the risks of medical treatment using the AI system.
Then no appropriate and sufficient informed consent will be provided to patients andfamilies.

Law• When handling personal information at prefecture/municipal
hospitals, the Personal Information Protection Ordinance will beapplied instead of the Personal Information Protection Act,
which applies to the private sector. In the Ordinance, there arecases where there is a provision that prohibits information
linking with external systems as a rule (prohibition of online
linking), and there is a possibility that the cooperation andlearning of data via the system will not proceed.

• Regarding services that utilize information, such as life logs, there are cases where
different individuals re-learn the information based on information input by
smartphone. In that case, there may be an error in some personal data input, and a
trained model that gives incorrect advice may be constructed. At that time, the legal
demarcation point/responsibility ratio may be unclear between individuals andservice providers.

(Note) Some examples of expected benefits and issues are listed.

Case: Finance

22

Expected benefits (example)• It will be possible to provide insurance products (life insurances, automobile insurances) with different insurance premium rates depending on the health status or car
driving skills.
• Insurance products (life insurances) customized to each person depending on the genome information, etc. will be provided.
• If a traffic accident occurs, the insurance amount will be instantly calculated from the photo/picture of the site, and the period before the insurance amount is paid will
be shortened.
• AI will comprehensively analyze the family structure, salary income, drop-at-expiration information such as investment trust, financial assets, latent losses, and property
status of borrowing, etc., and designing the optimum asset formation plan including the first and second generations will be automatically possible in the future.

Expected issues (example)
Before realization

After realization

Society• People might refuse to provide data for
insurance/financial institutions or feel
resistance in utilizing AI, fearing the impact on
the invasion of privacy, finding employment
or marriage, etc.

• The data on people’s health or driving, and genome information might be taken behind theirback and be profiled, then they might be discriminated in marriage.
• If the data common in the financial field are integrated on the credit approval AI platform, andthe assessment of a person on the platform is lowered, he/she might be put at a disadvantage
in various fields (loan examination, application for insurance, etc.)

Economy• Heavy investment might be needed to
introduce highly advanced AI, and theintroduction might not be proceeded.

• It would be highly possible that the introduction of highly advanced AI will require muchinvestment, so the introduction of AI into local banks, Shinkin banks, and small-sized insurancecompanies will be sluggish, and the disparity between small-sized companies and large ones will
be large.
• If most people utilize AI for their asset formation, the utilization of AI will be concentrated on
the AI with good performance, so the balance of the financial market might be lost.

Technology• Insurance products that fully adopted highly
advanced AI might not ensure transparency• Companies might be reluctant to utilize AI in
the field, fearing the difficulty in securing thequality or high risk of getting wrong results.

• If on what kind of basis AI calculated the insurance amount for the products depending on thehealth status or skills of driving cannot be explained, the appropriateness of the amount of
insurance might not be judged.
• There is a possibility that insurance amount might not be calculated or assessed appropriately, if
appropriate data are not used or the amount of data for learning is not enough and theaccuracy of image recognition or character recognition is low.

Law

• Insurance products might not be approved
because the conditions of conformity toinsurance products established by Financial
Services Agency cannot be judged.

• The data or genome information on people’s health or driving might be obtained and utilized
for unapproved purpose behind their back, so their privacy might be invaded or they might be
put under a disadvantageous situation in finding a job.
(Note) Some examples of expected benefits and issues are listed.

Case: Crisis management (crime prevention, public infrastructure, and disaster prevention)

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Expected benefits (example)〇 Utilizing a surveillance camera will enable us to prevent or detect crimes, and rush to a crime scene quickly.
〇 Repair robots will be able to automatically repair depending on fault prediction or abnormality detection at infrastructure such as roads or bridges, so
we will be able to use them safely and securely, and those robots can safely do repairs at a place where it’s hard for humans to do work.
〇 In disaster response, we will be able to do disaster prediction (including secondary disasters), and support for the minimization of disasters and swift
restoration such as proposing recovery plans depending on the damage situation and regional factors, as well as send alerting information.

Expected issues (example)
Before realization

After realization

Society• There is a possibility that the introduction of AI might besluggish because it’s hard to gain people’s trust for AI
regarding disaster prediction and planning for recovery
plans.

• If false alert is issued regarding disaster prediction, the trust for AI fromresidents will be lowered and AI might not be used continuously.

Economy• In installing a sensing device, the approval from theinstallation site will be required, but if a number ofsensing devices are needed to be installed, the sites
may have different administrators such as the nation,
prefecture, city or municipality or private individuals, it
might take time and labor for coordination.

• In case of fault/abnormality detection systems that are installed in the
ground where people can’t enter easily, there is a possibility that amonopolistic market might be formed by enterprises that got approval fromadministrators, outwitting competitors and secured learning data.

Technology• If the accuracy of disaster prediction is not enoughpartly because the AI has not learned from appropriate
data, sending alerting information might not be done or
be late, so the introduction of AI might be wavered.

• If the AI working on detecting criminal acts is hacked, the AI’s program
might be tampered in a way it doesn’t detect criminal acts, and the AI mightoverlook crimes.

Law• Regarding personal information that can be obtained
from sensing devices, the administrators of devices aredifferent, the regulations applied to the devices might
be also different, so there is a possibility that theyshould be dealt with pursuant to applied regulations,and the introduction of AI might be sluggish.

• If a crime such as a shoplifting at a store, etc. is misdetected, and a private
security firm and the police come to the site, the misdetected person
voluntarily goes to the police, responding to the request, and a person who
was in a store posts he was a criminal through SNS, the person’s social
reputation might be hurt.

(Note) Some examples of expected benefits and issues are listed.

Case: Manufacturing

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Expected benefits (example)〇 Based on external input (actual sales results, results of demand forecast, sales of competitors, etc.), AI will be able to handle optimum production planning andmaterial procurement procedures, etc. based on production planning.

〇 Thanks to robots controlled by AI, the full automation of manufacturing lines and inspection, etc. will be realized.
〇 Factories will be fully controlled by AI, and full automation will enable the limited production of a wide variety of products, so the optimization of the utilization of
resources concerning the production in multiple factories will be possible.
〇 Detection of abnormalities, alarm transmission, and fault prediction will be done based on the information obtained from the installed sensor of the post-sales products.

Expected issues (example)
Before realization

After realization

Society• After realization of full automation, implementation of a largescale downsizing is expected, so the psychological resistance atsites is extraordinary, and the investment might be sluggish.

• At the time of realization of full automated factories, reeducation/ reutilization ofhuman resources might not be done at the enterprises, and the unemployment rate
might increase significantly when massive restructuring is implemented.

Economy• Medium and small-sized enterprises might be reluctant torelease their production capacity and operational status, so theintroduction of IoT platform/AI and the transaction of AI withbusiness contacts might become sluggish.

• The gap between large enterprises that can introduce full automation facilities andmedium and small-sized enterprises that can’t do so might be further widened.
• If AI is hacked or misjudge, it may cause heavy damage to the company or businesscontacts, or leakage of information on production technology, and thecompetitiveness of the company and nation might decline.

Technology• If API and data format, etc. are different, effective automation
might not be done or developed even with the introduction ofAI.

• If industrial robots and production plan formulation/factory control AI are hacked orthey have not learned from appropriate data, or the learning data are not enough,they might misjudge.
• In case some troubles occur, the cause may not be identified, and the time required
for restoration will be more than the time when the manual/ ordinary system was
used.

Law

• The provided data’s copyright of learning data providers (major
manufactures) and AI development vendors and profit
distribution are not legally organized, data might not becollected.
• Under Japan’s current system, it’s hard to promote
restructuring. As a result, the investment on full automation
might not be proceeded.

• If the responsibility division between the provider of learning data, labelingpractitioners, and AI developers and liability for compensation are not legallyorganized, there is a possibility that enough compensation or support might not beprovided in case of troubles, etc.

(Note) Some examples of expected benefits and issues are listed.

Case: Residential

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Expected benefits (example)〇 They can predict what time their family members will come home from his/her GPS information and behavior history, and they can automatically optimize the indoor
temperature and adjust their housework such as cleaning and cooking depending on the time when their family members will return home.
〇 They can figure out the taste of their family members, judging from the health status, behavior history, and meal history of their family members, and determine themenu. They can order food ingredients, depending on the stock status of food in a fridge, etc., and cooking robots will cook the food ingredients.
〇 They can take care of children and seniors utilizing pet robots when their parents are away from home.
〇 AI speakers can provide various contents (TV programs, video, recommended news articles, comic books, books, music, etc.), depending on a person’s taste, thestatus of the family, and the contents of conversation.

Expected issues (example)
Before realization

After realization

Society• There is a possibility that people might become negative
about the introduction of AI home appliances and AI
speakers because they feel excessively uneasy about
giving the information of family matters or situation to AI.

• People’s privacy might be invaded or their information is used for a wrong
purpose when their health, hobbies and tastes, information of being at
home/away from home, dietary life, etc. are utilized behind their back for thedisagreed purpose.

Economy• If households in Japan are not financially comfortableenough, AI or AI home appliances that control the entire
house might not be spread. (There is a possibility that
only affluent homes might use AI or AI home appliancesin terms of the replacement of people and improvementof comfortability).

• If AI for the residential is provided by several platformers, and most parts ofthe consumption of households are automatically are done by AI, there is apossibility that the power of platformers will be too powerful and have bad
influence on economy.

Technology• API and communication formats, etc. need to be
standardized so that AI home appliances of different
manufactures can cooperate with each other.

• There is a possibility that accidents and troubles might occur at many homes
and tremendous impacts like major power outage might be put on economic
activities and city functions if the AI for the residential of a major enterprise ishacked.

Law• If AI home appliances of different manufactures don’t
cooperate with each other to legally clarify thecompensation or where the responsibility lies for an
accident or fire when housework is done fully
automatically, the cooperation between different
manufacturers might not proceed and only partial
automation might be realized.

• If households rely on AI in various aspects, there is a possibility that serious
damage such as ransomware attack (a malware in which the AI is taken as a
hostage and ransom is demanded by a hacker) might occur frequently. As theattack/damage is unprecedented, there is a possibility that existing legal
system may not be able to cope with it.

(Note) Some examples of expected benefits and issues are listed.

Case: Energy

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Expected benefits (example)〇 The electricity usage will be adjusted at home, offices, factories, etc. by AI to limit on maximum power consumption.
〇 The AI will adjust storage, usage and selling of the electricity generated by solar power, etc. at home at the best timing.
〇 The AI of undertakers by power industry will automatically and in real-time handle output power control by connecting the power source of renewableenergy.

Expected issues (example)
Before realization

After realization

Society• There is a possibility that companies or homes thatgenerate and sell electricity might not understand AI’s
output control of renewable energy for systems.

• If the reason for AI’s conducting output control isn’t clear enough, thecompanies that sell electricity of renewable energy might criticize electric
power utilities for conducting output control.

Economy• There is a possibility that homes might not understandthe AI that adjusts electricity usage and the introductionof AI might not proceed.

• There is a possibility that if AI conducts output control for renewableenergy for systems, there might be appropriate limit on the frequency ofcontrol, and opportunity loss due to output control in home or companies
that generate/sell renewable energy can’t be predicted when it’s not open
to the public.

Technology• In the field of electricity that is expected to supply
electricity as lifeline, if the AI’s capability to conduct
appropriate control isn’t verified, the introduction of AI
might not proceed.

• In case unexpected events such as disasters, etc. occur, there might not
be appropriate adjustment of electric power consumption or stable supplyof electricity because electricity power consumption, etc. in case of
unexpected events isn’t understood enough.
• As for output control and electricity supply, there is a possibility that AI
might be unjustly discriminated.

Law• In case the homes where several households live
together introduce the service where AI adjusts electric
power consumption, there is a possibility that theservice might not be spread because of the invasion ofprivacy if the housemates except for the contractors
don’t agree with handling of the data.

• If AI is introduced in output control and demand response and supply ofelectricity is canceled, a cause-and-effect relationship might be unclear,and it might be difficult to clarify where the responsibility lies.

(Note) Some examples of expected benefits and issues are listed.