The corporate mission of D-POPS GROUP Co., Ltd. (Shibuya, Tokyo; CEO: Kazuhiro Goto; referred to as “our group” from here on), is to multiply the number of growth companies (so-called “unicorn companies”) that will revolutionize society. In accordance with this, our group has made an investment in fluctlight inc. (San Francisco, CA; CEO: Yuji Nakagawa), a company expanding its services in the field of Generative AI.
Background
Japanese Prime Minister Kishida declared 2022 to be the "Year of Startup Creation" during his New Year’s press conference. Since 2017, our group has actively promoted the business strategies of mergers and acquisitions (M&A) and corporate venture capital (CVC), growing into a large group with 19 subsidiaries and 24 investment companies (at the time of publishing). While the government accelerates its efforts to create startups, our group has focused on creating the stage, environment, and platforms to serve as fertile ground for those startups and venture companies to grow.
The AI system market in Japan is expected to grow at a compound annual growth rate (CAGR) of 20-25%, reaching 1.1 trillion yen by FY2027. The ad technology market is also forecasted to continue growing at a CAGR of 16.1% from 2024 to 2030. Meanwhile, the monetization of Generative AI services, which combines these two fields, remains challenging but also presents significant opportunities.
Our group is actively investing in the Generative AI sector to realize a diverse entrepreneurial ecosystem that encompasses various industries. With this investment, we aim to strengthen our business collaboration and support the further growth of fluctlight.
Comment from Kazuhiro Goto, President of D-POPS GROUP Co., Ltd.
I am very pleased to have the opportunity to invest in fluctlight. As Generative AI is expected to be utilized in various scenarios in the future, I decided to invest because I want to support President Nakagawa, who is taking on the challenge of creating a Generative AI-focused advertising network platform. When I first met Mr. Nakagawa, the founding CEO, I was very impressed by his aggressive and strong action-oriented approach, a quality that I believe is characteristic of a successful entrepreneur. I have great expectations for his future achievements.
Our group’s vision of realizing a "Venture Ecosystem" aims to provide the stages and environments that will serve as fertile ground for startups to grow and contribute to society. By strongly supporting fluctlight under Mr. Nakagawa’s leadership, we hope to grow together and work to enhance the company's value.
Comment from Yuji Nakagawa, President of fluctlight inc.
I have experienced several transformative periods in history: from the days when I used 10-yen coins to make calls on public telephones, to the time when the internet became widespread, and then to the era when we could use mobile phones and smartphones to access social media. Later, I learned about the contenders of these transformative periods who paved the way for those radical shifts in technology.
Now, as we seize the once-in-a-lifetime opportunity of Generative AI, I feel incredibly fortunate to receive support from Mr. Goto, the founding CEO, and Mr. Sugihara, who have built up brilliant track records by challenging themselves in the fields of telecommunications and the internet—fields that have now become commonplace.
Comment from Sugihara Genta, Advisor to D-POPS GROUP Co., Ltd.
I see a shared philosophy between fluctlight, which aims to create services using Generative AI to enable richer lives for people, and D-POPS GROUP, which is committed to building a "Venture Ecosystem" to provide pleasure and shine to people’s lives. I have known Yuji, fluctlight’s founder CEO, for 10 years since we first met at Google. During that time, I got to know him better and personally witnessed his insightfulness and his overwhelming vitality. I am truly grateful to have a working relationship with him once again, and I feel a great sense of expectation and deep connection.
Overview of fluctlight inc.
Development of services in the Generative AI field, including:
• Generative AI marketplace
• Generative AI-based advertising network
Company Name: fluctlight inc.
Company President: Yuji Nakagawa
Japan Address: Shiroyama Trust Tower 27F | 4-3-1 Toranomon, Minato Ward, Tokyo
Headquarters: 548 Market Street, San Francisco, CA 94104
Established: 28 April 2023
Website: https://fluctlight.ai/
☆The official press release for this investment in fluctlight inc. is linked here (Japanese only):
https://prtimes.jp/main/html/rd/p/000000003.000143719.html
☆Interview with Yuji Nakagawa, president of fluctlight inc., the company that is aiming to expand its business in the field of Generative AI (Japanese only):
https://d-pops-group.co.jp/column/fluctlight-interview/
