Japan's Data Protection Chief Emphasizes Corporate Governance in the AI Era

As artificial intelligence becomes more deeply integrated into society, governments worldwide are reevaluating the balance between innovation and privacy. In Japan, this issue is taking center stage ahead of a crucial data protection law revision scheduled for 2025. The head of Japan’s Personal Information Protection Commission (PPC), Satoru Tezuka, recently emphasized the need for robust corporate governance in managing personal data amid AI’s rapid evolution.

AI, Privacy, and Governance: A Delicate Balancing Act

In an exclusive interview with Nikkei, Satoru Tezuka, chairman of Japan’s Personal Information Protection Commission, warned of the increasing need for businesses to prioritize governance as artificial intelligence continues to permeate all facets of modern life. With the proliferation of AI technologies, data usage is expanding exponentially. However, Tezuka underscored that this growth must be balanced with the preservation of individual rights.

Japan’s Personal Information Protection Law is reviewed every three years to ensure it adapts to evolving technology trends. The next major revision is due in 2025. Among the key issues under review is how data that doesn’t directly identify individuals—often used in AI development or for statistical analysis—can be handled without explicit consent from the individual. According to Tezuka, although such data may not identify specific individuals, the potential risks of misuse still exist, making company-level governance structures more important than ever.

He also pointed out that while the use of anonymized data could boost Japan’s competitiveness in AI, proper checks and transparency are essential. Without strong oversight, public trust could quickly erode, creating resistance to new technologies. Tezuka is urging companies to build internal systems that responsibly manage data while also ensuring accountability, particularly as AI-generated outputs become harder to trace and audit.

Ultimately, Tezuka’s comments reinforce a growing trend in data policy discussions: that legal frameworks alone are insufficient. It’s not just about compliance, but also about cultivating a culture of responsibility within companies.

What Undercode Say:

Tezuka’s remarks highlight a critical tension that’s becoming more pronounced globally: how to simultaneously harness AI’s economic potential while safeguarding civil liberties. Japan’s data protection framework is one of the more flexible globally—adaptive yet still founded on individual rights. But as AI systems become more complex and capable of re-identifying individuals from anonymized data sets, the risk landscape is shifting.

The emphasis on corporate governance is particularly noteworthy. Rather than relying solely on government oversight, Tezuka is essentially calling for companies to take on the ethical responsibility themselves. This could lead to a surge in privacy officers, internal audit systems, and third-party evaluations, especially in tech and data-heavy industries. Businesses that fail to adapt may soon find themselves not just behind legally, but culturally and competitively as well.

Japan’s legal revision in 2025 could set a precedent in Asia and potentially influence GDPR-style legislation in the region. Companies should already be preparing for stricter guidelines, particularly around de-identified data, which regulators now view with growing skepticism.

Moreover, the societal trust component Tezuka refers to cannot be understated. In a country like Japan, where social cohesion is strong and consumer expectations of privacy are high, any corporate misstep with data can lead to reputational damage that far exceeds financial penalties. Tezuka’s foresight in calling for proactive governance—not reactive regulation—shows that Japan aims to future-proof its data policies while nurturing its domestic AI sector.

In practice, this means businesses will need to go beyond box-ticking. Tools like data lineage mapping, risk-based anonymization, and AI ethics boards may become standard. Japan’s ability to implement this balance could also serve as a blueprint for nations struggling with similar issues.

Lastly, it’s crucial to recognize that Tezuka isn’t pushing back against AI—he’s advocating for a smarter integration that doesn’t compromise privacy. If done right, this governance-first model may empower Japan to thrive in the AI age without losing public confidence.

🔍 Fact Checker Results

✅ Tezuka Satoru is currently the chairperson of

✅ Japan’s data protection law is indeed reviewed every three years, with the next update due in 2025.

✅ Use of de-identified data without user consent is currently permitted under certain conditions in Japan, pending review.

📊 Prediction

By 2026, Japan will likely introduce stricter compliance requirements around anonymized data, mandating third-party audits or AI ethics disclosures for companies handling large-scale personal data. Companies that lead in governance frameworks will attract both consumer trust and international business partnerships, positioning Japan as a model for responsible AI deployment in Asia.