X-HUB TOKYO OUTBOUND PROGRAM

Back to Atlas

A government-funded startup acceleration program supporting Tokyo-based startups in expanding to international markets through regional accelerator partnerships.
What are the main aims and objectives?

X-HUB TOKYO OUTBOUND PROGRAM aims to support the global expansion of Tokyo-based startups by providing them with the information, networks, and resources necessary to enter and succeed in overseas markets. The program seeks to help startups achieve product-market fit in target international markets, facilitate business model validation, and clarify value propositions for overseas customers. It provides access to international investor networks to facilitate fundraising opportunities, enables business matching with potential customers and corporate partners, and supports startups in establishing local presence and understanding regional business ecosystems. The initiative addresses a fundamental challenge facing Japanese startups, which historically over-focus on the large domestic market and lack the international networks, English-speaking staff, and cultural fluency needed for global expansion. The program explicitly aims to produce "globally active companies from Tokyo" and prepare these startups for partnerships with overseas companies, moving beyond the traditional focus on the domestic Japanese market. Ultimately, the program is designed to maintain and grow Tokyo's competitiveness as a global startup hub by fostering internationally competitive companies within Tokyo's broader "Global Innovation with STARTUPS" strategy and "10x10x10 Innovation Vision".

How does the program work?

The OUTBOUND program operates through a structured, multi-phase acceleration model spanning approximately 4-6 months. The program is divided into six geographic courses, each targeting specific international markets and partnering with specialized local accelerators.​

The program begins with a competitive application and selection process. Startups must meet eligibility criteria including being Tokyo-based, typically less than 10 years old, with decision-makers fluent in English, and possessing products or services suitable for overseas expansion. Each course selects approximately 7-12 startups per cohort.​

Selected companies enter a bootcamp phase consisting of initial intensive training sessions held in Tokyo. These sessions cover market entry strategies, financing, legal regulations, and strategic growth preparation for overseas market engagement.​

The core acceleration phase runs for 5-10 weeks as a virtual program. Startups receive one-on-one mentoring with program mentors and industry experts, participate in masterclass sessions on specialized topics relevant to target markets, and access business matching and networking opportunities.​

This is followed by an intensive 1-2 week local program in the target location. Startups participate in on-site activities including exhibitions at major industry events such as TechCrunch Disrupt for the Silicon Valley course, direct meetings with investors and potential customers, ecosystem immersion through tours and networking events, and access to local coworking spaces.​

The six regional courses include: the Silicon Valley Course (partnering with accelerators experienced in the Bay Area ecosystem); the New York Course (partnering with ERA Global, focusing on AI, Climate Tech, and Clean Tech); the Europe Course (focusing on Digital Health, Fintech, Edtech, and Green Tech); the UK Course (partnering with L Marks and Cambridge Institute for Sustainability Leadership, emphasizing Cleantech and Sustainability); the Singapore Course (partnering with Tribe, focused on Southeast Asia expansion); and the Indonesia Course (focusing on Southeast Asian market entry). Each course is tailored to the specific ecosystem characteristics and business culture of the target region.​​

The program culminates with a Demo Day where startups showcase their refined strategies to investors and corporate partners. Participating startups receive ongoing support for market development and fundraising after program completion.

What is the overall cost?

The specific annual budget allocation for the X-HUB TOKYO OUTBOUND program is not publicly disclosed.

How was it implemented?

The OUTBOUND program was developed as part of Tokyo Metropolitan Government's strategic response to the need for internationally competitive Japanese startups. The program's creation was influenced by recognition that Japanese startups historically focused too heavily on the domestic market. As noted by the Japan External Trade Organization's (JETRO) Executive Vice President, many Japanese startups "consisting of only Japanese people develop products and services for the domestic market" and "face difficulties even if they try to develop their business overseas".​

The development timeline began in 2019 when Tokyo Metropolitan Government partnered with Startup Genome to establish benchmarking and ecosystem analysis, evaluating Tokyo's performance against global peer ecosystems. Initial acceleration programs began in 2021 when JETRO, in partnership with Japan's Cabinet Office, launched the Startup City Acceleration Program focusing on eight startup ecosystem hub cities across Japan. This program ran from October 2021 to March 2022, involving world-class accelerators including Techstars, Alchemist, Cambridge Innovation Center, Plug and Play, Berkeley SkyDeck, and World Innovation Lab.​

In 2022, the Tokyo Metropolitan Government formally launched its "Global Innovation with STARTUPS" plan with the ambitious "10x10x10 Innovation Vision" aiming to achieve a tenfold increase in the number of unicorns, startups, and public-private partnerships by 2027. The X-HUB TOKYO OUTBOUND PROGRAM was established as a dedicated track focusing specifically on Tokyo-based startups' international expansion. The program has continued annually with multiple cohorts across six geographic courses from 2023 to present.​

The program implementation involves collaboration between three key entities. Tokyo Metropolitan Government serves as the primary funding source and policy driver. JETRO acts as the program coordinator and operator, leveraging its network of 29 offices globally. Global accelerators serve as regional implementation partners, including ERA Global for New York, L Marks and Cambridge Institute for Sustainability Leadership for the United Kingdom, Tribe for Singapore, USMAC for Silicon Valley, and others. This partnership model allows the program to combine Tokyo government support with the deep local ecosystem knowledge and networks of established regional accelerators.​

Key milestones:

  • 2019: Tokyo Metropolitan Government partnered with Startup Genome for ecosystem benchmarking​
  • 2021: JETRO launched initial Startup City Acceleration Program​
  • 2022: X-HUB TOKYO OUTBOUND PROGRAM formally launched​
  • 2023-present: Ongoing annual cohorts across six geographic courses
What impact has been measured?

The OUTBOUND program has generated measurable positive outcomes for participating startups. The United Kingdom course conducted in 2024 facilitated over 50 combined business meetings across 10 participating startups in a 6-month period and resulted in 6 formal agreements signed between startups and UK-based partners. Multiple startups successfully established international partnerships and pilot projects through program connections.​

The Indonesia Course demonstrated significant engagement with 48 expert business mentors engaged, 84 mentoring and business matching sessions conducted, 6 anchor venture capitalists onboarded, 13 investors connected, and 43 one-on-one pitching sessions completed. The validation trip led to 15 potential memorandums of understanding and 17 follow-up meetings, with startups reporting 31.4% growth in potential business opportunities.​​

In the broader context, JETRO supports 700+ Japanese startups annually through 15 different acceleration programs, provides 3,000+ mentoring hours per year, and facilitates 2,000+ connections annually between startups and investors or partners. Between 2020 and 2024, Tokyo's startup ecosystem value surged from $25 billion to $66 billion—a 164% increase—and Tokyo ranked #10 globally in startup ecosystem rankings. While not solely attributable to the OUTBOUND program, these figures demonstrate the broader impact of Tokyo's strategic startup support initiatives.

What lessons can be learned?

Limited scalability challenges program reach

  • The program serves only 7-12 startups per course, reaching a small fraction of potentially eligible Tokyo startups despite the intensive, personalized nature of support​
  • Selection criteria requiring English-speaking leadership and products already suitable for international markets excludes promising earlier-stage startups that might benefit from international exposure but lack these capabilities​

Persistent cultural adaptation barriers remain

  • Despite program support, Japanese startups continue facing cultural challenges including longer decision-making timelines compared to Western markets, frequent personnel rotations (jinji-idō) disrupting relationship continuity, and different communication styles and business protocols​
  • The Bank of Japan identified in 2024 that structural challenges persist, including "a lack of diversity in the investor base and the relatively small amount of investment from large companies" in Japan's startup investment landscape​
  • Regional startups face particular challenges with shortages of management-level personnel (Chief Executive Officers, Chief Financial Officers) who can evaluate and support startups from both technological and business perspectives​

Domestic market gravitational pull continues

  • Japan's large domestic economy continues to exert gravitational pull, making it difficult for startups to prioritize international expansion​
  • Industry observers note that "Although Japan is the world's third-largest economy, few people want to master the English language" because domestic opportunities alone can sustain businesses​
  • The Japan Times reported that Tokyo's ecosystem ranking remained relatively static between 2021 (No. 9) and 2024 (No. 10) despite significant investment, suggesting broader systemic challenges beyond program-level interventions​

Absence of comprehensive impact measurement limits optimization

  • The program lacks rigorous, longitudinal impact evaluation tracking alumni companies' international revenue growth, funding success rates, survival rates, and comparative analysis against non-participants​
  • Without systematic tracking of outcomes over multiple years, it remains difficult to definitively assess program effectiveness and optimize interventions

Resource requirements create participation barriers

  • Even with free program participation, startups must commit significant founder time (4-6 months of engagement plus international travel), bear travel costs, and potentially neglect domestic operations during intensive phases​
  • This creates opportunity costs particularly challenging for bootstrapped early-stage companies without external funding


 

CURATED BY

Tom Hancock

Research Associate
Global Entrepreneurship Network
United Kingdom