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Slow to embrace cloud computing, Japanese businesses are seen as losing their competitive edge.

Slow cloud migration hinders digital transformation in Japan

Off-site data services comprise 4% of IT spending, a third that of North America

KOSUKE TOSHI, Nikkei staff writer | Japan

TOKYO -- Japan is lagging other countries in cloud computing, with related investment accounting for only 4% of all information technology spending in 2021 -- a third that of North America -- and the gap is growing.

Cloud services have been slow to gain traction in Japan as many businesses cling to proprietary systems, a tendency that has seriously hampered digital transformation in the country.

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