Osaka Launches World's First City-Wide AI, XR, and DePIN Ecosystem

World's First City-Wide AI, XR, and DePIN Ecosystem Launches in Osaka

DePINs that were initially focused on graphics rendering are increasingly being applied to AI processing. Artificial Intelligence (AI) and extended reality (XR) both hold huge potential to transform sectors like retail, entertainment and tourism. They also both require similar hardware to implement. "Digital Entertainment City Namba," a new collaboration between Mawari, Meta Osaka, Nankai Electric Railway and the Namba e-stadium, demonstrates how decentralized physical infrastructure networks (DePINs) can serve the computational needs of both technologies simultaneously. Digital Entertainment City Namba Osaka has a rich cultural and technological history. For example, over 140 years ago, the Nankai Railway was opened as Japan's first privately operated train line. Today, the Nankai Electric Railway is continuing that history of innovation with a new extended reality (XR) project that integrates AI and the Mawari DePIN. Powered by the decentralized GPU network, Digital Entertainment City Namba integrates virtual AI guides in immersive XR experiences across Osaka. "These AI-driven characters can handle tasks ranging from tourist guidance to customer service, creating intuitive, human-like interactions that transcend language barriers," Mawari explained in a press release. DePINs for XR Pulling off the most ambitious XR projects across extended arenas has traditionally been difficult due to the high computational burden of rendering graphics. Integrating AI further complicates the logistical challenge of implementation. DePINs have emerged as a possible solution to this challenge, with platforms like Mawari and Funta promising to reduce latency and minimize bandwidth with decentralized networks of GPUs. The platform is especially useful for Digital Entertainment City Namba, which also integrates AI. Like graphical rendering, AI requires powerful GPUs, limiting what can be performed on ordinary hardware. The AI Pivot One of the most successful GPU DePINs to date is Render Network, which started with a focus on graphics but is increasingly tapping into demand for AI processing. As demonstrated by the latest project in Osaka, Mawari is also starting to leverage its GPUs for AI. Considering GPUs' dual functionality, the transition from graphical rendering to AI is a natural pivot. Meanwhile, projects like Digital Entertainment City Namba reflect the growing intersection of both technologies, where decentralized GPU networks could play an important role as things evolve. DePINs in Japanese Law Under Japanese crypto legislation, DePIN tokens like RNDR and MWR are classified as utility tokens and, therefore, aren't subject to Japanese securities laws. In theory, some DePINs could fall under The Act against Unjustifiable Premiums and Misleading Representations (UPMR Act) and The Act on Specified Commercial Transactions, which regulate incentives to buy goods or services. However, GPU network operators are independent of GPU manufacturers and don't set strict hardware requirements. For example, any GPU that meets the necessary memory and performance requirements could become a Mawari or Render node. Therefore, premiums and incentives regulations don't apply.

Mawari Partners with Nankai Electric Railway, Meta Osaka To Create a 'Digital Entertainment City' Featuring Lifelike 3D Avatar AI Agents - Decrypt

Mawari has already executed over 50 successful XR projects worldwide, bringing AI-driven 3D avatars in real time Mawari, a DePIN pioneering lifelike AI agents with real-time 3D streaming, is delighted to announce that it has partnered with Nankai Electric Railway Co., Ltd., one of Japan's oldest private railway operators, Meta Osaka Co., Ltd and e-stadium Co., Ltd., to create the "Digital Entertainment City Namba." This groundbreaking urban development project will be the world's first fully integrated AI + XR + DePIN ecosystem operating at city-wide scale. Mawari's AI-driven 3D avatars unlock the full potential of AI agents by offering a new level of immersion and interaction that will revolutionize the way we live, work, and socialize. These AI-driven characters can handle tasks ranging from tourist guidance to customer service, creating intuitive, human-like interactions that transcend language barriers and revolutionize how we experience AI. Jointly created by Mawari, Nankai Electric Railway, Meta Osaka and e-stadium, the Digital Entertainment City Namba will integrate AI-powered 3D avatars, XR (extended reality) technology, and a decentralized physical infrastructure network (DePIN) into a cohesive urban experience. It redefines how cities can integrate digital experiences such as AI and XR to solve social challenges and deliver transformative entertainment. "At Mawari, our mission is to make AI-driven immersive experiences accessible to everyone," said Luis Oscar Ramirez, CEO of Mawari. "Uniting AI, XR, and DePIN in 'Digital Entertainment City Namba' is a landmark moment for the entire industry, demonstrating a clear path to mass adoption with tangible social impact. Our collaboration with Nankai Electric Railway, Meta Osaka and e-stadium transforms urban spaces, creates new work opportunities, and brings decentralized infrastructure into everyday life for diverse communities." Established in 1885, Nankai is one of Japan's oldest private railway operators with over a hundred stations served across multiple lines. It anchors the project in the city of Osaka. Nankai sees a future where stations and properties aren't just transit points, but immersive digital hubs. Meta Osaka, on the other hand, contributes innovative strategy and local ecosystem development. Mawari will deploy edge compute and rendering devices throughout Nankai's stations and properties, bringing computation closer to users and enabling smoother, high-quality digital experiences at scale. This decentralized streaming infrastructure ensures real-time 3D content, including lifelike AI Agents with a body and soul, is rendered and delivered with minimal latency. Mawari's technology reduces bandwidth usage by 80%, significantly lowering costs and ensuring smooth, high-quality streaming. "Starting in 2023, the Nankai Group has been working to transform the Namba area into an 'ENTAME-DIVER-CITY' that will realize co-creation with a variety of stakeholders and make the area more attractive through the power of entertainment," commented Nobuyuki Okajima, President and COO of Nankai Electric Railway Co., Ltd. "As part of this, we opened the e-Stadium Namba Main Branch, an e-sports facility, in August 2024 at Namba Parks, a commercial facility operated by Nankai Electric Railway, and have collaborated with MetaOsaka. We have now launched the "Digital Entertainment City Namba" project, and will continue to develop the Namba-Shinsekai area, including Tsutenkaku, which became part of our group in December 2024, to create a 'future city' with entertainment at its core that will keep visitors entertained." Leveraging its patented extended reality (XR) streaming technology, Mawari overlays digital content -- such as virtual idols and anime characters -- onto physical landmarks (e.g., Namba Parks, e-Stadium, Tsutenkaku). This next-generation entertainment blend merges the real and virtual worlds, allowing for immersive storytelling, interactive events, and cultural showcases. Mawari and Nankai aim to provide experiences that cater to diverse users -- remote workers, inbound tourists, families, seniors, people with disabilities, and more. Japan attracted 23 million foreign tourists in 2023. With multi-lingual 3D guides and interactive XR content, tourists gain transformative experiences and intuitive navigation, while local businesses benefit from increased foot traffic and global attention. Moreover, the Digital Entertainment City Namba will enable remote workers -- including caregivers, parents, seniors, and people with disabilities -- to interact and contribute through immersive, AI-driven avatars. Japan faces an estimated 11 million worker shortage by 2040. This inclusive approach addresses its labor shortages by opening flexible employment opportunities in tourism, customer service, and other service industries, all managed via real-time 3D interfaces. Mawari has been pioneering the field of spatial computing since 2019, having already executed over 50 successful XR projects worldwide, bringing AI-driven 3D avatars into augmented reality in real time. By enabling community-driven innovation, the Mawari Network breaks through traditional technological limitations, delivering rich, dynamic experiences that redefine user interactions in real-world environments. ABOUT NANKAI ELECTRIC RAILWAY Founded in 1885, Nankai Electric Railway Co., Ltd. was the first railway company in Japan to be established purely by private capital. It currently operates three main lines from its landmark terminal in Namba, Osaka: the Nankai Line to Wakayama, the Koya Line to the Koyasan (Mount Koya) World Heritage Site and a line running to Kansai International Airport. While focused mainly on railway, bus and other transportation operations, the Nankai Group is also involved in real estate (rental office space and residential developments), retail (shopping center management), office building maintenance and other leisure and service businesses, as well as construction and other operations. ABOUT MAWARI Mawari is the world's first DePIN for Spatial Computing, enabling the mass adoption of AI agents. The Mawari Network powers real-time streaming of immersive AI-driven experiences with close to zero latency globally. Mawari's fusion of AI + XR seamlessly blends digital intelligence with physical reality, delivering lifelike 3D Avatar AI agents today. Meta Osaka is a company that is committed to digital innovation and regional revitalization, mainly in Osaka, and provides solutions that utilize the latest technology. We are contributing to the development of next-generation smart cities and digital infrastructure while taking advantage of the unique characteristics of the region. ABOUT e-stadium Nankai Electric Railway Group's e-Stadium Inc. is dedicated to addressing social issues through eSports. In the eSports facility operation business (including partner facilities), a commitment has been made to establishing a healthy eSports environment since its inception. By actively collaborating with local schools, municipalities, and businesses, the goal is to foster eSports as a positive and thriving culture within the community and to continue promoting this initiative. Leora Schreiber [email protected] Disclaimer: Press release sponsored by our commercial partners.