Digital Transformation in Japan: Innovations and Challenges in Creating Smart Society

The aim of the study was to explore the concept of Smart Society 5.0 using Japan as a case study and its adaptation to address demographic challenges and build sustainable digital ecosystems in other countries. The focus was on integrating advanced technologies such as artificial intelligence, the Internet of Things and robotics into key socio-economic areas including healthcare, education and urban infrastructure. The research methodology was to use content analysis of official documents, policies and academic publications, and comparative analysis using the SWOT method to explore the factors influencing the adaptation of the Smart Society 5.0 concept in different socio-economic contexts. It was found that the Japanese model demonstrated high technological readiness expressed in a developed digital infrastructure, support for innovation projects at the state level and close interaction between business, science, and government. These features contributed to addressing such challenges as population ageing, depopulation and the need to modernise social institutions. At the same time, limitations were identified: high cost of technology implementation, digital inequality between regions and generations, and slow decision-making due to bureaucratic procedures. Comparative analysis with Kazakhstan showed that both countries faced demographic challenges, but differed in the level of infrastructural and cultural development. Universal elements of the “Society 5.0” concept that could be adapted for Kazakhstan were identified. Among these elements, were the development of accessible digital infrastructure, increasing the level of IT competences of the population, as well as stimulating innovation through public-private partnerships. The practical significance of the work lay in the formulation of universal approaches to adapt the concept of “Society 5.0” in countries with different socio-economic conditions. The findings of the study could be used to create digitalisation strategies aimed at sustainable development, overcoming digital inequality and introducing innovative technologies in various spheres.