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Aerospace & Defense Industries

Japan plans cybersecurity tax break for defense contractors

Exclusive: Legislation would seek to safeguard technology and keep it at home

An F-35A stealth fighter at a Mitsubishi Heavy Industries plant. Japan is eyeing new measures to keep sensitive defense-related information out of the wrong hands. (Kyodo via Reuters)

TOKYO -- Japan will consider offering tax incentives to defense contractors that bolster cybersecurity measures, aiming to better protect sensitive industry information against attacks by state-supported hackers, Nikkei has learned.

Thousands of companies, including smaller suppliers, could qualify for the incentives by adopting effective antivirus software, two-step authentication to access key information, and other new safeguards.

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