What's Happening?
NTT is establishing a new company, NTT Mobility, to accelerate the implementation of autonomous driving services across Japan by fiscal year 2027. With an initial capital of 1.45 billion Japanese yen,
the company aims to consolidate autonomous driving technologies developed by NTT Group companies. NTT Mobility will focus on vehicle procurement, operation support services, and remote monitoring systems, contributing to the advancement of Level 4 autonomous driving, which involves driverless vehicles operating under defined conditions.
Why It's Important?
Japan is facing a driver shortage exacerbated by its aging population, leading to a decline in public transportation services, especially in rural areas. NTT Mobility's initiative aligns with the Japanese government's revised road traffic law allowing Level 4 autonomous driving on public roads. This development represents a significant technological opportunity to address demographic challenges and enhance transportation infrastructure. The move could lead to safer, more efficient mobility solutions and stimulate economic growth in the autonomous vehicle sector.
What's Next?
NTT Mobility plans to collaborate with local governments and transportation companies to implement autonomous driving services in about 50 locations by fiscal year 2025, expanding to over 100 locations by 2027. The company will work on creating maps, training programs, and AI initiatives to support regional public transportation. The phased implementation will initially focus on specific routes in sparsely populated areas, with plans to expand to private vehicles and expressway trucking.
