On 22 January 2026 KDDI began operating the Osaka Sakai Data Center, a purpose‑built AI hub located in a former Sharp LCD plant. The 57,000 sqm facility delivers high‑density GPU compute, renewable‑powered electricity, and redundant infrastructure designed to accelerate large‑scale generative AI models while ensuring data responsibility and resilience for Japanese enterprises.
Factory Conversion to AI Data Center
Facility Overview
The four‑story complex spans roughly 57,000 sqm (613,542 sq ft) and was transformed from a manufacturing site to a data center in just six months. The rapid conversion underscores KDDI’s commitment to providing AI‑ready infrastructure that aligns with Japan’s national AI strategy.
Hardware, Cooling, and Power
GPU Infrastructure
The center is equipped with NVIDIA GB200 NVL72 GPU systems, delivering the compute density required for trillion‑parameter generative AI models. This hardware foundation enables enterprises to run demanding AI workloads locally.
Sustainable Energy and Cooling
Cooling combines traditional airflow with direct liquid cooling to manage the high thermal load of the GPU clusters. 100 % of the site’s electricity consumption is offset by renewable power, supporting Japan’s carbon‑neutral objectives.
Early Adopters and Use Cases
- Medical Engineering Institute Inc. – Partners with Takeda Pharmaceutical to analyze electronic medical records and accelerate drug‑discovery pipelines using the GPU cloud.
- Morgenlot Inc. – Utilizes the compute power for fluid‑dynamics simulations, advancing product design and manufacturing innovation.
- Elyza Inc. – Develops domestic AI models tailored to Japanese industry and societal needs, reinforcing KDDI’s mission to foster locally relevant AI.
Why the Osaka Sakai Data Center Matters
By housing AI workloads on a domestically owned, renewable‑powered platform, the center mitigates cross‑border data‑transfer concerns while providing the horsepower needed for state‑of‑the‑art models. Redundant power, cooling, and storage pathways ensure continuous operation for mission‑critical sectors such as healthcare and finance.
Industry Impact and Outlook
The facility serves as a blueprint for Japan’s AI infrastructure roadmap. Its ability to host trillion‑parameter models positions it to support both global enterprises and Japanese startups, narrowing the gap with AI hubs in other leading regions. The pragmatic repurposing of an existing industrial site demonstrates a fast‑track approach to expanding AI capacity.
Looking Ahead
KDDI plans to scale the site’s capacity further, integrating the Osaka Sakai Data Center into its nationwide Telehouse network. As regulations around AI ethics and data governance tighten, the center’s focus on responsibility, control, and data recoverability may become a decisive advantage for customers seeking compliant, high‑performance AI environments.
