News
Ryosan Ryoyo Holdings president expects annual AI demand growth of 30 to 40 percent
Monday, February 9, 2026 at 08:13 PM
The president of Ryosan Ryoyo Holdings stated that demand for AI-related semiconductors and infrastructure is expected to grow by 30 to 40 percent annually.
Context
Ryosan Ryoyo Holdings President Moritaka Nakamura expects annual AI-related demand to grow by 30% to 40% as the company shifts from traditional semiconductor distribution toward high-margin AI solutions. This pivot focuses on "physical AI" for manufacturing and digital twin technology, supported by a planned 10 billion yen IT infrastructure investment over the next five years. The strategy aims to leverage the group’s established relationship with NVIDIA to capture the surging corporate appetite for generative AI integration across the supply chain.
The timing aligns with the group's scheduled merger of its two primary operating subsidiaries in April 2026, a move intended to consolidate resources and accelerate synergy. This corporate restructuring is a critical step toward achieving the company’s fiscal 2029 targets of 500 billion yen in net sales and 30 billion yen in operating profit. For investors, this aggressive expansion represents a structural effort to reduce exposure to cyclical chip markets by building a more stable, service-driven revenue base centered on AI.
Sources (3)
Related Companies
Ryoyo Ryosan Holdings
167A