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“Devin-kun” Phenomenon: Why Japan is the Perfect Market for AI Software Engineers

Japan faces an aging population and a shortage of software engineers, while also possessing a large amount of legacy code. U.S. AI company Cognition introduced its Devin agent to Japan and found it to become one of the most active markets. This article analyzes why Japan is an ideal testing ground for AI agents and the impact this has on the global IT industry.

When "Devin-kun" Becomes a New Colleague in Japan

In Tokyo's Shinjuku skyline, a digital colleague named "Devin-kun" is quietly changing the face of software engineering. This AI agent, developed by US startup Cognition AI, can autonomously write, debug, and deploy code, quickly gaining popularity in Japanese corporate circles. Users voted to add the Japanese honorific "-kun" to its name, symbolizing its acceptance as an equal team member.

Cognition AI President Russell Kaplan revealed that Japan is one of the countries with the highest user engagement globally, and Devin had already "gone viral" there before the company officially established its Tokyo office. The San Francisco-based startup, valued at $26 billion, has made Japan the first stop in its Asian expansion, followed by a Singapore headquarters.

Perfect Market: Shrinking Workforce and Legacy Code

Japan's unique structural challenges make it an ideal testing ground for AI agents. Japan is the most aging society globally, with nearly 30% of its population over 65, and the working-age population is expected to decrease by over 30% by 2060. Meanwhile, Japan's Ministry of Economy, Trade and Industry predicted in 2023 that the country would face a shortage of 789,000 software engineers by 2030.

On the other hand, there is a mountain of legacy code. Japanese government and enterprises have long run critical infrastructure based on outdated languages and systems, making rapid migration to modern platforms difficult. For example, the Sapporo city government needed to overhaul over 1 million lines of legacy code to meet national IT compliance requirements. According to Kaplan's estimate, this work would typically require 200 engineer-months of labor, while using Devin, Sapporo's engineers completed the task in a quarter of the time.

This efficiency improvement is not an isolated case. The AI agent can communicate directly with engineers in Japanese, eliminating language barriers while making collaboration between Japanese teams and global teams smoother. Kaplan noted that lower English proficiency had previously isolated Japanese enterprises, but AI's multilingual capabilities are breaking down that wall.

Japan: Eastern Bridgehead for American AI

It is noteworthy that Japan has adopted a strategy of deep integration with the US for AI deployment, rather than pursuing "sovereign AI." OpenAI and Anthropic both set up their first overseas offices in Tokyo; Microsoft, Google, and others have committed billions of dollars to data centers in Japan; SoftBank's Masayoshi Son is a major investor in OpenAI. Anthropic's strong model Mythos was even opened to Japan's three major banks early on.

This strategic choice reflects the pragmatism of Japan's industry: rather than catching up from scratch in the large model race, they choose to introduce the most advanced tools to solve the immediate talent crisis. Kaplan said, "Japan has disproportionately invested in close cooperation with US companies to influence these companies' roadmaps to meet local needs."

Ripples in the Global Outsourcing LandscapeAI agents have disrupted the traditional IT outsourcing model. India’s major IT service companies—Infosys, Wipro, Tata Consultancy, HCLTech—have seen their stock prices drop 30% to 40% over the past 12 months. Investors worry that AI agents will replace a large number of outsourced human positions at lower cost.

However, Kaplan believes the role of Indian engineers will upgrade to “AI agent managers.” Cognition’s practice in Malaysia confirms this: Kuala Lumpur has become a regional software engineering hub, where local engineers excel at managing AI agents. Cognition launched its “Applied AI Engineering” project there, training engineers on how to effectively direct AI teams.

New Frontiers in Computing Efficiency

Geographically dispersed teams also bring advantages in computing resource utilization. Kaplan noted that Cognition’s computing demand roughly doubles every seven weeks, but by leveraging time zone differences—for example, when New Yorkers are resting, Tokyo is working—they can make fuller use of off-peak computing power.

Outlook

Japan’s adoption of AI agents is not just a technological experiment but a survival strategy in response to its demographic crisis. When the labor force cannot be replenished, AI becomes a key lever for maintaining societal function. Companies like Cognition are replicating Japan’s success stories in other Asian economies facing similar challenges, including South Korea, Australia, and Southeast Asia.

In the future, AI agents may become the standard configuration of enterprise digital workforces, and how Japan’s experience influences global technology policy, outsourcing structures, and software engineering practices deserves continuous observation.

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  1. https://fortune.com/2026/07/03/devin-kun-cognition-ai-japan-russell-kaplan/Primary source

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