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  • At this bank in Tokyo, Nao, Sota, and Pepper are here to help customers and entertain them.

  • At the airport, this robot is helping passengers to get around.

  • Enjoy your first visit in Japan!

  • And at this hotel, this robot is helping guests with directions.

  • From Shinjuku station and get off at Shibuya station.

  • Japan is obsessed with robots; walk into a bank, restaurant, or department store, they're starting to work for you.

  • They're even performing for you.

  • Wait, what about the threat of automation taking away jobs?

  • Well, here, it's quite the opposite.

  • In fact, the prime minister unveiled reforms with hopes the robot market will reach 21 billion dollars by 2020.

  • The goal?

  • To be the largest society in the world supported by robotic technology.

  • And it's not a matter of efficiency or cost savings as much as it might actually be about survival.

  • You see, Japan has a chronic labor shortage.

  • The service sector here accounts for about 70% of Japan's economic output, yet, labor productivity is 40% lower than in the US.

  • This makes it hard for restaurants to raise wages and puts a strain on the industry sector.

  • Places like McDonald's are cutting back on the number of 24-hour outlets.

  • So, economists say Japan either needs to accept more immigrants or bring in the robots.

  • Which brings us to Japan's second big issue.

  • Birth rates are on the decline.

  • Its overall population is now declining at the fastest rate globally, yet people are living longer than ever.

  • Just take a look at this.

  • Japan sells more adult diapers than baby diapers every year.

  • And fewer workers to support an aging population means poor economic growth.

  • So, robots here are seen much less of a "nice to have" as they are a "must have".

  • But, also, Japan's cultural acceptance of robots is much higher than most places.

  • In English, a robot is defined as "a type of programmable machine".

  • But in Japanese, the technical definition is just "a controllable artificial human".

  • Not as scary, right?

  • That could explain why there's so many cute robots being developed.

  • Or, put another way, cute, controllable, artificial human.

  • But if you think robots are ready to completely take over, well, think again.

  • They haven't fully proven themselves just yet.

  • In fact, two of the robots I tried to visit that had gained global headlines were actually no longer employed.

  • So, research and development of robots doesn't necessarily mean successful implementation.

  • But that's not to say that all types aren't at least being tested and even deployed.

  • This is RoboHan.

  • He arrived on the market last year and actually replaces your cell phone, doing everything from making calls, snapping a selfie, and he can even use his head as a projector.

  • Of course, it doesn't fit in your pocket, and it might not be easy to take around with you.

  • But that's not point.

  • The developers say it's meant to feel like a companion device.

  • I just wish I understood Japanese.

  • In Tokyo, Uptin Saiidi, CNBC.

At this bank in Tokyo, Nao, Sota, and Pepper are here to help customers and entertain them.

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