Hitachi to Accelerate Global Expansion of AI and Data Analytics Businesses in Asia
Hitachi, Ltd. announced that it has signed an agreement with Fusionex International Plc (Fusionex), a Big Data and AI technology market leader in the Asian region, providing AI and data analytics services, and has acquired the successor company of digital business under the “Fusionex” brand, as a wholly-owned subsidiary (the new company) on April 1, 2020.
Hitachi will incorporate Fusionex’s AI-enabled data analytics products, services and subscription type SaaS business expertise into Lumada, to strengthen SaaS business, which reduces user-specific development, customization, and realizes easy delivery. Hitachi aims to establish an agile and efficient delivery model which is essential to expand global business. Moreover, Hitachi will create new digital solution by integrating both companies’ technologies, expertise, and digital-ready resources, and combining the services with Hitachi’s OT and product businesses for its global customers. This strategic move will enhance Lumada solutions and accelerate their delivery. Hitachi will contribute to improve customers’ social values, environmental values, and economic values accelerating global expansion of Lumada business that solves customers’ challenges and support customers in achieving digital transformation (DX).
As DX gains momentum worldwide, the application of data analytics and AI is expanding over many different industries. In Asia, digital solutions for businesses are expected to grow in demand very rapidly. To achieve DX, SaaS-type services are becoming increasingly important as they can quickly become available for use while minimizing initial investment. In particular, the subscription market in Asia is rapidly expanding, with its CAGR (compound average growth rate) for the period between 2011 and 2018 reaching 20%
Fusionex has been offering SaaS-based applications utilizing AI and data analytics as well as related services such as consultation, implementation and operations for various customers in manufacturing, distribution, logistics, e-commerce, finance and other domains. To support the company’s digital operations, Fusionex has highly skilled data professionals who are knowledgeable in different domains. Fusionex’s SaaS-based services have more than 11,000 SMEs in Asia.
2021 Mid-term Management Plan, Hitachi integrated Hitachi Vantara and Hitachi Consulting Corporation, two U.S. affiliates of the Hitachi Group, in January 2020 to strengthen its front function and delivery function. During the term of the 2021 Mid-term Management Plan, Hitachi will aggressively make additional investments in the expansion of Lumada. The plan includes acquiring human resources and customer bases in digital domains mainly in North America and Asia.
Furthermore, utilizing SaaS business know-how and collaborating with Hitachi’s OT and product businesses, Hitachi will create new digital services, further penetrate into the obtained customer bases in Asia and expand to global customers in other regions. The combination of both companies’ technologies, know-how and human resources and strengthening our global organization should help our customers to achieve DX.