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Visualizing EV Battery Degradation in 3 Minutes: The Frontlines of the "Value-Up Session" Exploring Next-Stage Business Growth — FY2026 2nd Premium Value-Up Session Report —

Visualizing EV Battery Degradation in 3 Minutes: The Frontlines of the 'Value-Up Session' Exploring Next-Stage Business Growth

Prospective Technologies Inc. possesses technology that can highly accurately diagnose the "degradation level of vehicle batteries"—a factor that remains opaque in the used car market—in just 3 minutes without removing the battery from the vehicle.

The "Value-Up Session" is a practical training ground where industry experts and ICT Startup League selectees directly debate and refine their business models. In this second session of FY2026, a startup tackling social issues with proprietary technology once again took the stage. Furthermore, the League has implemented a new system where a dedicated "Caddy"—not just an advisor, but a hands-on partner who shares the founders' struggles and actively supports business execution and growth—is assigned to each company.

This article closely follows a session where candid discussions questioning the very foundations of the business model unfolded between the selected startup and the experts, showcasing the journey of discovering their next strategic move.

Highly Accurate Diagnosis of Vehicle Battery "Degradation" in Just 3 Minutes: Prospective Technologies Inc.

Masanori Shibuno, Co-founder / CEO, Prospective Technologies Inc. Masanori Shibuno, Co-founder / CEO, Prospective Technologies Inc.

Taking the stage for this session was Prospective Technologies Inc., a company specializing in the development of electromagnetic degradation diagnostic software. Co-founder and CEO Mr. Shibuno introduced the company's initiatives to eliminate the risks plaguing the used car market for hybrid and electric vehicles (EVs).

Bringing Reliable Standards to a "Gacha-like" Used Hybrid Car Market

Currently, many hybrid vehicles circulate in the Japanese used car market, but the degradation level of their installed batteries cannot be determined from the outside. Mr. Shibuno points out that "it's like a game of 'gacha' (loot box) whether you get one in good condition or bad." Even within Japan's vehicle inspection system (Shaken), battery degradation is not an inspection item, posing the risk of expensive replacement costs for buyers after purchase.

To address this issue, the company has developed a patented technology capable of highly accurate degradation diagnosis in about 3 minutes. Without removing the battery from the vehicle (on-board), users simply plug a dedicated device into the OBD2 port and perform a short charge/discharge cycle. While existing diagnostic methods only look at simple voltage changes (SOC - State of Charge), Prospective Technologies analyzes the variance using a proprietary algorithm, realizing practical, high-precision SOH (State of Health) diagnostics.

Aiming for Global Expansion and Standardization with a Global Business Pro (Caddy)

For its business rollout, the company is collaborating with major used car listing sites and importers, aiming for widespread adoption via a B2B model. In the future, they envision expanding (platformizing) applications beyond automobiles into all areas where batteries are used, such as stationary energy storage stations and special airport vehicles.

Furthermore, to accelerate overseas expansion, an expert with over 30 years of PdM/PM experience who has led global technology development and business promotion is walking alongside them as their Caddy. Parallel to building a foundation in Japan, they are formulating strategies with an eye on the global market from the very early stages.

Feedback from Experts: Building a Community and Brand that Engages Enthusiasts

Toshiya Haida (Top Left: Selection Evaluation Committee Member), Nobuyuki Matsuda (Top Right: Selection Evaluation Committee Member), Hidetoshi Takano (Bottom Left: Selection Evaluation Committee Member), Masakazu Kakinuki (Bottom Right: Management Committee) Toshiya Haida (Top Left: Selection Evaluation Committee Member), Nobuyuki Matsuda (Top Right: Selection Evaluation Committee Member), Hidetoshi Takano (Bottom Left: Selection Evaluation Committee Member), Masakazu Kakinuki (Bottom Right: Management Committee)

Including experts participating online, numerous concrete ideas were offered for expanding business awareness and securing a de facto industry standard. Marketing strategies were proposed, such as, "Beyond B2B deployment, you should host diagnostic events that involve car-loving general users (early adopters) to spread awareness on social media and other channels."

Furthermore, advice was given to create an easy-to-understand brand sticker (like the "Intel Inside" campaign—perhaps color-coding the diagnosis year and degradation state) to preemptively permeate their unique standards throughout society. Additionally, hints for opening up new markets were suggested, such as, "Why not approach critical sectors where battery reliability is directly linked to human life, such as the increasingly electrified aviation (airline) industry?"

Summary: Balancing Technological Pursuit with Business Growth

Tadashi Fukuda (Left: Chairman of the ICT Startup League Management Committee), Kunio Noma (Right: Ministry of Internal Affairs and Communications) Tadashi Fukuda (Left: Chairman of the ICT Startup League Management Committee), Kunio Noma (Right: Ministry of Internal Affairs and Communications)

At the end of the session, Mr. Fukuda, Chairman of the ICT Startup League Management Committee, and others provided a summary. Mr. Fukuda stated, "Under the name of a 'League,' it is vital to support startups throughout the year, rather than ending with a one-off event," calling for continuous communication between both the committee members and the startups.

Mr. Noma from the Ministry of Internal Affairs and Communications (MIC) also expressed his expectations, stating, "This project supports R&D with funding from the MIC, and we want you to firmly demonstrate a balance between the pursuit of technology (from an ICT perspective) and growth as a business."

Prospective Technologies Inc. is cracking open the black box of battery degradation with its proprietary analytical technology. Receiving practical feedback from experts and hands-on support from their Caddy, we will continue to keep a close eye on how the company scales its business moving forward.

■ ICT Startup League
Launched in FY2023, this support program was triggered by the Ministry of Internal Affairs and Communications' "Startup Creation-type Exploratory Research and Development Support Project."
The ICT Startup League supports startups through four main pillars.
① R&D Funding / Hands-on Support
Up to 20 million JPY in R&D funding is provided in the form of subsidies. For hands-on support, the selection evaluation committee members who participated in selecting the League members will stay engaged and promote their growth even after selection. For companies that the committee members evaluated as "must-select," a dedicated support structure is built, where the evaluation members themselves continuously provide advice on business plans and offer growth opportunities.
② Discovery & Cultivation
We provide a place for learning and encounters that spur the business growth of League members.
We also discover aspiring entrepreneurs, aiming to expand the startup ecosystem's base.
③ Competition & Co-creation
Functioning as a space for positive competition, much like a sports league, startups learn together and engage in friendly rivalry to secure the funding they truly need (up to 20 million JPY). It also provides a co-creation space where League members can collaborate to expand their businesses through various opportunities, including sessions with selection evaluation committee members.
④ Broadcasting
We broadcast the initiatives of League members in collaboration with the media! By letting more people know about their businesses, we aim to expand the opportunities for new matching and business chances.

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For more details on STARTUP LEAGUE's startup support, please see here.