As Japan accelerates its efforts to build a globally competitive startup ecosystem, a critical question is beginning to surface: who is participating in this transformation, and who is being left out?
Platforms such as SusHi Tech Tokyo 2026, which position Tokyo at the centre of global conversations around future cities innovation, highlight the country’s technological strengths. Yet, as Japan pushes forward on innovation, the issue of diversity, particularly gender representation, remains an area of concern.
In an exclusive conversation, Toshiya Watanabe, Chair of the Strategic Council at National Innovation Network for Entrepreneur Japan, offered a candid assessment of the challenges.
A Stark Snapshot of Representation
Watanabe pointed to a recent national startup conference organised across Japan’s university ecosystem, an initiative designed to showcase innovation from multiple regions.
The outcome, however, revealed a deeper structural issue. “All participants were Japanese men. There was no diversity,” he noted.
This observation underscores a broader reality within the Japan startup ecosystem, where representation, particularly of women and international participants, remains limited. For a country seeking to position itself as a global innovation hub, such gaps raise important questions about inclusiveness.
Structural Barriers Beyond Startups
The lack of diversity in startups cannot be viewed in isolation. It reflects broader societal and institutional patterns, including limited representation of women in leadership roles, traditional career pathways and structural barriers within corporate environments.
While startups are often seen globally as more open and meritocratic spaces, Japan’s ecosystem is still in the early stages of this transition.
Watanabe acknowledged that addressing diversity requires more than incremental change. “We have to change the climate,” he said, referring to the need for both cultural and structural transformation.
Signs of Change, But Early Days
Despite these challenges, there are early signs of progress. Watanabe highlighted discussions with international partners, including institutions in the United Kingdom, where similar diversity gaps existed in the past but have since improved through targeted interventions.
These included structured programmes, competitive funding mechanisms and sustained efforts to encourage women entrepreneurs. Japan is beginning to explore similar approaches, though the process is still at an early stage.
“The change is already starting,” Watanabe observed, pointing to growing awareness and initial efforts to address the imbalance.
Startups as a Potential Equaliser
One of the more encouraging developments is the potential role of startups in creating alternative pathways for talent. In traditional corporate environments, women in Japan often face structural challenges related to career progression, work-life balance and leadership opportunities.
Startups, by contrast, can offer more flexible and merit-based environments, where performance and innovation take precedence over tenure. This shift has already begun to attract more women to entrepreneurial roles, although representation remains uneven.
The challenge now is to ensure that this momentum translates into sustained participation and leadership at scale.
Inclusion as a Driver of Innovation
The case for diversity extends beyond equity. Global evidence increasingly shows that diverse teams are better positioned to innovate, adapt and address complex challenges.
In the context of Sustainable High City Tech, the core theme of SusHi Tech Tokyo, this becomes particularly relevant. Technologies shaping the future of cities, from artificial intelligence to urban infrastructure, affect diverse populations. Without inclusive participation, there is a risk that these systems may not fully reflect the needs of the communities they serve.
Organisations such as NINEJP, which aim to connect universities, startups and industry, are uniquely positioned to influence this shift.
By integrating diversity considerations into funding programmes, startup competitions and ecosystem initiatives, they can help create a more inclusive innovation landscape.
However, as Watanabe’s observations suggest, this requires deliberate effort. Encouraging participation, building support systems and creating visible role models will be critical in driving change.
As SusHi Tech Tokyo 2026 brings together global stakeholders, it offers an opportunity not only to showcase technological innovation but also to reflect on the inclusiveness of the ecosystem.
Japan’s ambition to become a leading innovation hub will depend not just on its technological capabilities, but on its ability to create an environment where diverse talent can thrive.
The question is no longer whether Japan can innovate, but whether it can do so inclusively.
