Integrated Innovation Strategy 2023 (Summary)tentative translation

Science, technology, and innovation are the pillars of our country's growth strategy. These are the driving force to originate engines of growth from social issues and to achieve sustainable economic growth. At thesame time, they are the national lifeline in terms of ensuring safety and security from infectious diseases. Expectations for science, technology and innovation enter a new phase against the background of growing
impact of the prolonged situation in Ukraine
As the international environment surrounding Japan is becoming severe, it is even more important for the public and private sectors to cooperate and collaborate in strategically addressing key national issues, withscience, technology and innovation as the cornerstones
As the third annual strategy under the STI Sixth Basic Plan, it is necessary to strongly promote effective policies, strengthen initiatives based on progress, and respond flexibly to changing circumstances

Recognition of the current situation[Changes in the Situation at Home and Abroad] Prolonged Russian aggression against Ukraine (increased severity of theinternational environment, including energy and food, increased importanceof supply chains, etc.)
 Accelerate building of new international partnerships under post-COVID-19
 Rapid acceleration of advanced technologies (such as generative AI andfusion energy (nuclear fusion)) Intensifying international competition (increased investment andcompetition for acquisition of human resources)

Administration's agenda[Expectations and Demand for Science, Technology and Innovation Policy]
 Growing importance as measures that underpin comprehensive national power(expanding presence and contribution in the international community andimproving the security environment) Collaboration with the like-minded countries and formation of brain circulation inlight of the severe situation surrounding international society
 Make full use of new funding to overcome the relative decline in Japan's
research capabilities and the collective wisdom of industry, academia, andgovernment in responding to changing circumstances Realization of New Form of Capitalism
Strengthen economic security, including priority investment areas such as "people," "science,technology, and innovation," and "startups," as well as energy and food Formulation of the new National Security Strategy of JapanPositioning that “the appropriate use of technological capabilities plays a crucial role in improving
Japan’s national security environment" against the background of the rapid acceleration ofadvanced technology and its multi-use nature In accordance with the agenda, realization of a virtuous cycle of "social transformation
through Convergence Knowledge (So-Go-Chi)" and "investment for knowledge andpeople" and Society 5.0

In order to realize the society (Society 5.0) that Japan is pursuing, for which the way is paved by advanced science and technology including advanced generative AI and quantum technology, it is essential to further
substantiate the process of realization and form new alliances that can respond flexibly to changes in circumstances, so that the power of Japan's industry, academia, and government can be mobilized.

Three cornerstones of Science, Technology and Innovation Policies
Expanding our presence and contribution to the international community with advanced science and technology as the cornerstone by enhancing the knowledge base built by university reform, startups that lead innovation,and human resources that are the driving force of value creation, as well as by mobilizing wisdom and knowledge

Strategic promotion of Advanced Scienceand Technology

Enhancement of Knowledge bases (researchcapabilities) and Human Resource Development- Strengthen the efforts to address generative AI-driven issues , draw up a strategic
realization process by strengthening quantum technology and fusion energy strategies andlaunching a think tank, and accelerate strengthening of economic security and social
implementation by promoting the Key and Advanced Technology R&D through Cross
Community Collaboration Program(K Program), Strategic Innovation Promotion Program(SIP) phase 3, and the Moonshot R&D Program- Respond to key national issues in cooperation with the public and private sectors, and afull fledged effort to regain the presence- Contribution of multi-use advanced technology in the context of the National Security Strategyof Japan- Utilize both the University Endowment Fund and the promotion of research universities with aregional core and distinctive characteristics to strengthen their functions, promote
fundamental and academic research, and build a diverse knowledge base
- Strengthen the development and education of young, female, and other diverse humanresources who lead creative research, regardless of field, and expand career paths for theiractivities- Using the G7 as an opportunity to strengthen cooperation with partner countries, encourageinternational brain circulation, and strengthen responses to academic journal issues(1) Promoting national strategies for key technologies and responding to key national issues

・Accreditation of Universities for International Research Excellence toward the commencement of subsidies from theUniversity Endowment Fund・ Respond to risks related to AI while promoting optimal use of and strengthening development capabilitiesof AI ; promote strategic R&D and social implementation based on the new quantum technology andfusion energy strategy; enhance agriculture and food innovation; and enhance the analytical functions ofe-CSTI・Combine the capabilities of the public and private sectors to address key national issues such as
digitalization of society, green initiatives, semiconductors, biotechnology, materials, health and medicine,space, ocean, and Beyond 5G(2) Expanding the contribution of advanced science and technology to ensure safety andsecurity
・Strong support through the K Program and preparatory work for the establishment of a think tank・Increase and improve the use of results from R&D of advanced technologies in the security field・Promote appropriate countermeasures against technology leakage(3) Strengthening R&D and social implementation to accelerate solutions to social issues
・Launch SIP phase 3, integrated operation of BRIDGE (crossing the bridge to Society 5.0), enhance theMoonshot R&D Program, strengthen international standardization strategy, and utilize Convergence
Knowledge (So-Go-Chi)

Foster the technologies that support the future of our country
and guide their application in society, keeping in mind thesuperiority and indispensability of the technologies(1) Strengthen research infrastructure and reform universities by promoting the University
Endowment Fund/regional core universities, etc.

・Launch of expanded projects based on the revision of the package for comprehensive promotion of research
universities with a regional core and distinctive characteristics
・Realization of the Global Startup Campus Initiative

Creation of Innovation Ecosystem- As a promoter of innovation, provide thorough support for startups, including in deep tech,which is Japan's strength, based on the "Startup Development Five-year Plan"- Strengthen the formation of an ecosystem where startups are born and grow one after anotherthrough the Global Startup Campus Initiative and the promotion of hub cities
Mobilize all policy tools to promote the formation of a growth-oriented funding cycle and increase
public and private investment in R&D(1) Thorough support for startups (promotion of Startup Development Five-year Plan)

・Strong support through the Small/Startup Business Innovation Research (SBIR) system, including
support for demonstrations in advanced technology fields
・Utilize government procurement for startup development
・Develop entrepreneurs including through entrepreneurship education(2) Strengthening of cooperation with cities, regions, universities, and startups

・Full-scale launch of the Global Startup Campus Initiative and acceleration of global expansion of startups
mainly from Startup Cities(3) Formation of a growth-oriented capital cycle and expansion of R&D investment(2) Enhance the development and education of creative and diverse human resources andpromote their activities(4) Accelerating the Vision for a Digital Garden City Nation

・Provide support for young people, including doctoral students, and expand career paths in which they can excel

・Promote the widespread use of smart city services and develop a roadmap for them・Promote efforts to improve the research environment, including securing research time・Promote Industry-Academia-Government Collaboration and open innovation with the universities at thecore・Support for strengthening inquiry-based and STEAM education, closing the gender gap in science and math,enhancing recurrent education, and reorganizing university and Colleges of technology (KOSEN) into growing
fields(3) Collaboration with like-minded countries and partner countries that share the same values
・Promote strategic science and technology diplomacy on the occasion of the G7 meeting
・Promote open science, including strengthening response to market dominance of academic in scholarly publishing;develop Research DX platforms; cooperate in ensuring research security and integrity; and contribute to theHiroshima AI Process
・Accelerate international brain circulation, strengthen strategic international joint research, collaborate with ASEAN

Form international brain circulation to create a source ofBring the benefits of science, technology, and innovation

science, technology, innovation, and value creation

to the public and society by placing a priority on startups

Strengthen the functions of the National Institute for Research and Development Agency/Funding Agency to support the three cornerstones of science, technology, and innovation policies, as well as
new collaborations to bring together and promote the mobility of outstanding human resources from universities, companies, and the National Institute and to enhance the research environment

Main Initiatives under Integrated Innovation Strategy 2023

tentative translation

The headings in each pillar are based on Chapter 2 (organized according to the Table of Contents of the Sixth STI Basic Plan).

Strategic promotion of Advanced

Science and Technology
Transformation into a sustainable and resilient societythat ensures the safety and security of the people◆

Creating new value through the fusion of cyberspace and physical space•

Developing Base Registries and assuring trust, based on the "Priority Policy
Program for Realizing Digital Society" mainly by Digital Agency
Revision of the Semiconductor and Digital Industry Strategy and acceleration ofinitiatives, and promotion of R&D and international standards setting of Beyond5G•◆

Promoting social change and disruptive innovation to overcome global
issues•Promote the development of innovative technologies for energy efficiency,
renewable energy, nuclear energy, fusion energy, etc. for net-zero and utilizationof diverse energy sources based on the Basic Policy for the Realization of GX(green transformation), etc., in order to simultaneously achieve decarbonization,
steady energy supply, and economic growth through realization of GX
Promote the transition to a nature-positive economy based on the new National
Biodiversity Strategy and Action Plan of Japan 2023-2030, etc.

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Creation of Innovation Ecosystem

Developing frontiers of knowledge and strengthening
research capabilities as sources of value creation

Transformation into a sustainable and resilient societythat ensures the safety and security of the people◆Promoting university reform and expanding functions for strategic
management•Accreditation for Universities for International Research Excellence torealize research universities that rank with the world
From FY2024 onward, Universities for International Research Excellence
will begin receiving grants from the profits of a 10-trillion-yen University
Endowment Fund
Smooth implementation of support based on the revised "Package forComprehensive Promotion of Research Universities with a Regional Coreand Distinctive Characteristics" and encouragement of strategic
management to develop strengths and characteristics, including theestablishment of funds and Industry-Academia-Government collaboration
centers••◆

Rebuilding the environment to produce diverse and outstanding
research

Building a resilient, safe and secure society•

Through building Digital Twin and developing simulation technology, respond tothreats of natural disasters and aging infrastructure
Ensuring comprehensive security through preparations for think-tank functions,promotion of the K Program and measures against technology leakage.
Strengthen the use of results from R&D of advanced technologies in the security
field, based on the National Security Strategy
Steady implementation of measures related to public-private technicalcooperation and non-disclosure of selected patent applications, etc. under theEconomic Security Promotion Act•Promotion of R&D and social implementation to solve various social
problems and utilization of the Convergence Knowledge (So-Go-Chi)
Strengthening and promoting dissemination and utilization of the concept andexamples of the Convergence Knowledge (So-Go-Chi)
Start of integrated operation of SIP phase 3 and BRIDGE, and enhancement ofthe Moonshot R&D Program for up to 10 years of R&D
Using the G7 as an opportunity, implement strategic science and technology
diplomacy, including open science and the Hiroshima AI Process; cooperation
with emerging and developing countries, including ASEAN; strengthening
international standards strategies; enhancing international joint research; andensuring research integrity autonomously
Promote production, practical application, and dissemination of radioisotopes for
medical use

Enhancement of Knowledge bases (researchcapabilities) and Human Resource Development•◆

Expand career paths for doctoral students in various fields, including
implementation of long-term paid internships and promotion of activities innational public service, and improve compensation for doctoral students
Promotion of funding for Grants-in-Aid for Scientific Research (KAKENHI) as
well as Fusion Oriented REsearch for disruptive Science and Technology(FOREST), improvement of the environment for employing researchers
starting with securing positions for young researchers primarily through thereformation of human resource and payroll management, improvement ofthe research environment for researchers such as securing research time,and promotion of active participation of female researchers
Strategic science and technology diplomacy on the occasion of the G7,
strengthening of international joint research and formation of hubs forinternational brain circulation, cooperation with emerging and developing
countries including ASEAN◆•••••••••

Promotion of immediate open access to scholarly publications and scientificdata
Promotion of management and utilization of research dataDevelopment and operation of infrastructures for Research DX (digitaltransformation) such as research data management system, preprint serverand supercomputers
Promotion of shared use of research facilities and equipments

Large-scale startup creation centered on the deep tech sector based on theStartup Development Five-year Plan
Based on the radical expansion of the SBIR system with the addition of
Phase 3, which will support technology demonstrations, etc. starting in
FY2023, commence strong support for early social implementation ofadvanced technologies owned by startups
Promote the use of government procurement for startup development
Creation of an environment for unlisted markets, drastically strengthen
entrepreneurship education from the primary and secondary education level,
based on the policy package on education and human resource
development for the realization of Society 5.0, and provide opportunities toreceive support for starting their own businesses for all university students
and others who wish to do so
Promote the utilization of growth capital by promoting VC (venture capital)
investment from institutional investors and improving the investment
environment, and by encouraging investment from individual investors suchas angel investors
Strengthen Japan‘s incubation function by promoting the Global Startup
Campus Initiative and formation of an ecosystem including accelerating theglobal expansion of startups mainly from Startup Cities◆

Urban and regional development as the foundation for succeeding in
the next generation(Development of Smart Cities)•Creation and development of good practices from various efforts utilizing
local resources in Smart Cities toward the realization of the Vision for aDigital Garden City Nation, along with the Super City initiative, etc.
Formulate a medium- to long-term roadmap for implementation by the public
and private sectors in the region, and promote efforts to create promotion
hubs and human resource development, etc.
Promote industry-university collaboration and open innovation withuniversities playing the core role, based on the Comprehensive Promotion
Package for Regional Core and Distinctive Research Universities•Construction of new research systems(promotion of open science and data-driven research, etc.)•Formation of an innovation ecosystem that is the foundation for
creating new industries that co-create value•

Education and human resource development torealize diverse happiness (well-being) andchallenges for each individual

Promotion of sectoral strategies
through public-private partnerships•[Strategic fundamental technologies to be addressed]
Promotion of world-leading R&D, formation of hubs, and human resource
development, including the response to the risks of AI while promoting
optimal use and development capabilities of AI, strengthening social
implementation of advanced technologies and economic security based on
the new quantum technology and fusion energy strategy, and the realizationof innovative bio-manufacturing and material DX platforms[Strategic applied fields to be addressed]
Promotion of exit-oriented initiatives through Industry-AcademiaGovernment Collaborations in such fields as health and medicine, space,ocean, food, agriculture, forestry, and fisheries•••

Implementation and follow-up of measures based on the roadmap for the Policy
Package on Education and Human Resource Development toward therealization of Society 5.0
Support the strengthening of inquiry-based, STEAM, and entrepreneurshipeducation, promoting empirical research on guidance and support for children
with unique talents, and promoting reorganization of academic faculties inuniversities and Colleges of technology (KOSEN) in growth fields
Present the role models for closing the gender gap in studying science andmathematics and factor analysis through surveys
Enhancement of support for those who are willing to learn by utilizing the“Investment in Human Capital” Policy Package, which amount to 1 trillion yen
over 5 years from 2022 based on the Comprehensive Economic Measures toOvercome Rising Prices and Realize Economic Revival, and strengthening ofrecurrent education at companies, universities, etc.

Circulation of funds and revitalization forknowledge and value creation••Leading the international R&D competition under the R&D investment targetof 30 trillion yen for the government and 120 trillion yen for the public andprivate sectors during the Sixth STI Basic Plan period
Induction of private investment by expanding science and technology
budgets, promoting innovation in government enterprises, utilizing R&D
Promotion Tax System and promoting public procurement

Strengthening the control tower function of the Council for Science, Technology and Innovation•Advancement of evidence systems (e-CSTI), analysis of topics such as critical science and technology areas, the superiority of ourcountry, and the allocation of funds.

•Assessing the progress of the Sixth STI Basic Plan and promoting collaboration among headquarters meetingsparticipated by stakeholders and related ministries and agencies