Company Profile: Preferred Networks, Inc.

Last Updated October 30 2024.

Preferred Networks, Inc. (PFN) is a leading Japanese company specializing in deep learning and robotics. It was founded on March 26, 2014, as a spin-off from Preferred Infrastructure (PFI), which was established in 2006 by Toru Nishikawa and Daisuke Okanohara. Headquartered in Tokyo, Japan, PFN has quickly established itself as a powerhouse in artificial intelligence and its real-world applications.

The company focuses on developing practical applications of their technology to address complex challenges in various sectors, including transportation, manufacturing, and bio-healthcare. PFN is known for its "Edge Heavy Computing" approach, which involves the distributed, collaborative processing of massive data generated by devices at the edge of the network, aiming to achieve innovation in various fields.

One of their key projects involves the development of AI software for Human Support Robots, which can adapt to their environments. PFN has collaborated with Toyota to create AI systems for autonomous vehicles in the automotive sector, demonstrating successful navigation capabilities at events like the Consumer Electronics Show. The company has also made headway in industrial automation, partnering with FANUC to develop advanced AI solutions for industrial robots.

With a valuation of approximately $2 billion as of May 2018, PFN stands out in Japan's tech landscape, which has been characterized by a scarcity of unicorns. The company has raised $152.19 million over 10 funding rounds, with the latest round being a Corporate Minority - VIII on August 27, 2024. Notable investors include Toyota Motor Corporation, FANUC, Hakuhodo DY Holdings, Hitachi, Mizuho Bank, and Mitsui & Co..

The technology and innovation at the heart of PFN's operations are centered around deep learning and its practical applications. The company has developed significant expertise in computer vision, natural language processing, and bioinformatics. PFN previously developed the open-source deep learning framework Chainer, which played a crucial role in many of its projects until the company announced plans to transition its deep learning framework from Chainer to PyTorch in December 2019. The company continues to push the boundaries of AI technology, particularly in areas such as robotics and autonomous systems.

Preferred Networks has the potential to significantly impact the Japanese AI industry and the broader Asian market. Its focus on practical applications of deep learning in critical sectors like transportation and healthcare positions the company exceedingly well. The company's "Edge Heavy Computing" approach could become increasingly relevant as the Internet of Things (IoT) expands, potentially establishing PFN as a leader in distributed AI processing.


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