Japan Natural Language Processing Market Analysis

The Japan natural language processing market is segmented and analyzed for demand and supply by end-user industry into education, BFSI, healthcare, IT & telecom, manufacturing, media and entertainment, and others. Out of all end user industries of Japan’s natural language processing, the BFSI segment is estimated to gain the largest market of USD 4,448.6 million at the end of 2031 by growing at a CAGR of 25% over the projected time frame. Moreover, the segment garnered a revenue of USD 360 million in 2021.  The growth of the segment can be attributed to the rise in the number of AI facilities designed exclusively for banking and other financial services. In Japan, there are 24 startups focused on AI in financial services. Furthermore, NLP enhances the customer experience and to automate the vast unstructured data of BFSI sector. The rising number of people creating bank accounts is boosting the segment growth. As of March 2022, around 12 million bank accounts were registered in Rakuten Bank, Ltd., moreover, it was the first digital bank in Japan to exceed the count of 10 million accounts.  

The Japan natural language processing market is also segmented and analyzed for demand and supply by application into social media sentiment analysis, text summarization, virtual agents and chatbots, machine translation, and others. Amongst these five segments, the text summarization segment is expected to garner a revenue of USD 3,106.8 million at the end of 2031 by growing at a CAGR of 24.1% over the forecast period. In addition to this, the market generated a revenue of USD 272.6 million in 2021. NLP helps in simplifying complex text and converting and saving the meaning of the text. Consequently, the demand for AI-based technology in libraries is expected to augment the growth of the segment. The National Diet Library of Japan will use the "CLOVA OCR (Optical Character Recognition)" technology, it is an AI-based technology, which was co-developed by NAVER and its Japanese affiliate LINE. Through this technology, the National Diet Library of Japan is undertaking a project to digitally transform more than 223 million of its around 2 million documents.

Our in-depth analysis of the Japan natural language processing market includes the following segments: