It seems to have been unavoidable at this point. Even with Japan's relative control over COVID-19, rest of the world is only coming to terms with how immense the disease's impact might be. Thus the decision to push 2020 Olympics to early 2021.
Despite the Olympic relay already in progress, the mega event will not take place as planned. A conference call between prime minister Shinzo Abe, IOC president Thomas Bach and numerous other officials resulted in the decision to officially postpone the Olympics.
The tournament will no longer be held in 2020, though it will retain the date in its official name (this includes the Paralympics, too). The goal is to push the event only a few months later than initially anticipated, not the whole year.
“In the present circumstances and based on the information provided by the WHO today, the IOC President and the Prime Minister of Japan have concluded that the Games of the XXXII Olympiad in Tokyo must be rescheduled to a date beyond 2020 but not later than summer 2021, to safeguard the health of the athletes, everybody involved in the Olympic Games and the international community.” reads the statement by IOC and Tokyo 2020 Organising Committee.
“The leaders agreed that the Olympic Games in Tokyo could stand as a beacon of hope to the world during these troubled times and that the Olympic flame could become the light at the end of the tunnel in which the world finds itself at present. Therefore, it was agreed that the Olympic flame will stay in Japan. It was also agreed that the Games will keep the name Olympic and Paralympic Games Tokyo 2020.” it continues.