SCSK and NEC Strengthen Collaboration to Accelerate Customers’ DX and Business Growth

SCSK Corporation (TSE: 9719) and NEC Corporation (TSE: 6701) today announced that they will strengthen collaboration in the data center and network business to accelerate customers’ DX and grow their businesses. As part of this effort, the companies will establish SCSK NEC Data Center Management, Ltd., a joint venture in data center operations on April 1, 2022.

Background and purpose of establishing a new company

Due to the global COVID-19 pandemic and the frequent occurrence of natural disasters, there is a need for the utilization of secure and safe data centers to further raise awareness of business continuity, and to ensure the safety of sensitive information such as personal information. Furthermore, due to the shift to remote work and the acceleration of digital transformation (DX), there is a growing need for using richly functional and highly flexible cloud services.

SCSK and NEC will jointly operate a data center in Inzai City, Chiba Prefecture, Japan, scheduled for completion in April 2022, to accelerate DX for customers, and to attract ecosystem partners, including cloud providers. This will provide customers with significant benefits in terms of convenience and confidentiality in connecting to ecosystem partners when using jointly operated data centers.

Ecosystem partners will also install network connectivity points to jointly operated data centers in the future, giving both companies’ customers the opportunity to leverage the services of the ecosystem partners.

To realize these environments, both companies will jointly own and operate data centers and establish a data center joint operating company with the aim of creating and providing new services with the ecosystem partners.

Role of the new company

The new company will hold the property of a data center in Inzai City, scheduled for completion in April 2022, and will provide data center services and network services to SCSK and NEC. In addition, the new company aims to operate an environmentally friendly data center by using renewable energy, and both companies will contribute to the achievement of virtually zero greenhouse gas emissions.

Future development

SCSK and NEC will continue to attract ecosystem partners to realize a high level of convenience and confidentiality in an environment that combines customer-specific systems within data centers and various cloud services. Going forward, both companies will continue to support the acceleration of customers’ DX and business growth through collaboration in the data center and network business.

Profile of the new company

1. Company name: SCSK NEC Data Center Management, Ltd.
2. Business Activities: Provision of data center services and network services for SCSK and NEC from Inzai City, Chiba Prefecture, Japan
3. Date of Establishment: April 1, 2022
4. Representative: Hiroshi Ogasawara, Representative Director
5. Head Office: Toyosu, Koto-ku, Tokyo
6. Capital: 200 million yen (including capital reserve)
7. Ownership ratio: SCSK: 62.5% NEC: 37.5%
8. Number of employees: 10

About SCSK Corporation

SCSK provides a full lineup of services to support any area of IT solution required for businesses from consulting to system integration, verification services, IT infrastructure implementation, IT management, IT hardware and software sales, and BPO (business process outsourcing).
SCSK at new window

About NEC Corporation

NEC Corporation has established itself as a leader in the integration of IT and network technologies while promoting the brand statement of “Orchestrating a brighter world.” NEC enables businesses and communities to adapt to rapid changes taking place in both society and the market as it provides for the social values of safety, security, fairness and efficiency to promote a more sustainable world where everyone has the chance to reach their full potential. For more information, visit NEC at

Topic: Press release summary

Japan – Hitachi to Strengthen Business Structure for Further Growth through Digital, Environment, and Innovation

Hitachi, Ltd. (TSE: 6501) today announced that as of April 1 2022 it will strengthen business structure in order to further evolve the Social Innovation Business and achieve growth with a focus on digital, environment and innovation in its next Mid-term Management Plan.

1. Accelerating Growth through Digital, Environmental, and Innovation

(1) Achieving Growth by Accelerating Digitalization
Hitachi will establish a structure, led by Hitachi Digital LLC(*1) based in North America, to create and implement global digital strategies that cut across the entire Hitachi Group, and to accelerate growth through digitalization. EVP Toshiaki Tokunaga, who will take charge of Digital Systems & Services sector, will serve as Chairman, and Jun Taniguchi (currently President of Hitachi Global Life Solutions, Inc.), who has been involved in promoting DX in the control platform business and the digitalization of the home appliance business, will be appointed CEO.

In addition, two leaders will join the management of Digital Systems & Services sector to strengthen structures to drive the global growth of the digital businesses. Shashank Samant, CEO of GlobalLogic, while leading co-creation and digital business by leveraging GlobalLogic’s digital engineering capabilities, will also serve as an Executive Advisor to EVP Tokunaga to support the development of the Hitachi Group’s overall digital business growth strategy. And Gajen Kandiah, CEO at Hitachi Vantara LLC, will undertake a concurrent position as Chief Digital Transformation Officer in charge of Digital Systems & Services business. He will apply insights of the cloud and data applications, which are the core strengths of Hitachi Vantara, to expand the Hitachi Group’s service business, and to transform the Group as a whole into a world-class digital solution provider.

Through these initiatives, Hitachi will expand Lumada business and accelerate the growth through DX globally.

(2) Achieving Growth by Accelerating Environmental Strategies
In order for the Hitachi Group to grow and contribute to sustainability as part of efforts to achieve a decarbonized society and a circular economy, VP Lorena Dellagiovanna will be appointed to the newly created position of Chief Sustainability Officer, and will hold concurrent positions as Head of Environment(*2) and Chief Diversity & Inclusion Officer (CDIO). By leveraging her broad-ranging network of contacts in the European political and industrial arenas, Hitachi will create and implement global environmental strategies to accelerate activities aimed at achieving long-term environmental targets while maintaining comprehensive attention to sustainability. At the same time, it will seek out business opportunities and lead in the creation of value for the Group as a whole with a focus on the environment, while achieving sustainable growth through GX(Green Transformation).

(3) Achieving Growth by Investing in Innovation
Hitachi will create and implement investment strategies aimed at creating innovations by back-casting from 2050. A new Innovation Growth Strategy Division will be established(*3) to accelerate growth throughout the Hitachi Group as a whole, with President Keiji Kojima holding a concurrent position as General Manager. This Division will strengthen ties with R&D groups, startup companies, and other entities, undertaking strategic investments to bring about innovations through new technologies and business models, and will lead the next stage of growth for Hitachi.

2. Accelerating Growth by Simplifying Management

To accelerate management and succeed in global competition, Hitachi will simplify the management structure based on three sectors: Digital Systems & Services; Green Energy & Mobility; and Connective Industries. Even as it maintains the current BU structure, it will strengthen ties among divisions with similar business attributes, and strive to secure a top global position by accelerating growth through digital, environment, and innovation.

3. Strengthening the Management Base

(1) Strengthening Risk Management Structures
To ensure that Hitachi can respond quickly and comprehensively to the various risks that the Group will face as it strives for growth on a global scale, current SVP CFO Yoshihiko Kawamura will be appointed EVP, and will also hold a concurrent position as Chief Risk Management Officer (CRMO). By establishing a function under the CRMO to collaborate across related divisions in regions throughout the world and to evaluate business risks and opportunities, and by strengthening structures to enable integrated decision-making, Hitachi will respond proactively not only to natural disasters and geopolitical risks, but also to risks involving compliance, security, and elements of the supply chain such as quality and procurement. In this way, the company will strive to put in place a robust management foundation.

(2) Further Promoting Diversity and Inclusion (D&I)
Hitachi sees D&I as sources of innovation and engines that drive global growth. It assigns diverse individuals to positions where they are able to make use of their unique knowledge and experiences, and to fully demonstrate their capabilities. Hitachi will actively fill key positions with diverse talent, including women, non- Japanese, and individuals with backgrounds outside of the Hitachi Group, such as Lorena Dellagiovanna, Gajen Kandiah, and Yoshihiko Kawamura, to achieve further growth on a global scale.

(*1) To strengthen the functions of the current Hitachi Global Digital Holdings LLC, the company’s name will be changed to Hitachi Digital LLC (tentative name at present).
(*2) The current title of Chief Environmental Officer will be changed to Head of Environment.
(*3) The current Future Investment Division and Corporate Venturing Office will be combined to form Innovation Growth Strategy Division.

About Hitachi, Ltd.

Hitachi, Ltd. (TSE: 6501), headquartered in Tokyo, Japan, contributes to a sustainable society with a higher quality of life by driving innovation through data and technology as the Social Innovation Business. Hitachi is focused on strengthening its contribution to the Environment, the Resilience of business and social infrastructure as well as comprehensive programs to enhance Security & Safety. Hitachi resolves the issues faced by customers and society across six domains: IT, Energy, Mobility, Industry, Smart Life and Automotive Systems through its proprietary Lumada solutions. The company’s consolidated revenues for fiscal year 2020 (ended March 31, 2021) totaled 8,729.1 billion yen ($78.6 billion), with 871 consolidated subsidiaries and approximately 350,000 employees worldwide. For more information on Hitachi, please visit the company’s website at

Aramco and AEC strengthen digital ecosystem

Saudi Arabian Oil Company (“Aramco”) and Advanced Electronics Company (“AEC”), a SAMI company, are collaborating to promote the localization of digital businesses in Saudi Arabia.

The two companies have signed a memorandum of understanding (MoU) to accelerate the Kingdom’s digital ecosystem development.

The partnership aims to support wider efforts to enable Internet of Things (IoT) technologies, computing and communication, robotics, drones, and semiconductors that complement the expansion of the digital ecosystem at large in the Kingdom.

Aramco has included the Industrial Digital Business (IDB) under the industrial investment program, Aramco Namaat, which aims to complement the establishment of various digital hubs in Saudi Arabia.

The program aims to maximize local content, contribute to GDP growth, create new jobs, accelerate digital talent development, and enhance Aramco’s reliability and operational efficiency.

Ahmad Al Sa’adi, Aramco SVP Technical Services, said: “This partnership aims to help us to develop technologies and local talent as we work with leading technology providers to add value to the company and wider economy.”

Ziad Al-Musallam, AEC President and CEO, said: “The cooperation with Aramco is expected to contribute to the efficiency and value of the supply chains in the industrial digital businesses, especially at the engineering, manufacturing, and services level, across many systems and products used in the ICT, security, and energy sectors.”

The program is designed to drive increased investment, economic diversification, job creation and workforce development within the Kingdom.



Nabil Al-Nuaim, Chief Digital Transformation Officer, Aramco (Left), Ahmad Al Sa’adi, SVP Technical Services, Aramco, Walid Abu Khalid, Chairman AEC & CEO SAMI, and Ziad Al-Musallam AEC President & CEO, at the signing of a memorandum of understanding between Aramco and Advanced Electronics Company, to accelerate the Kingdom’s digital ecosystem development.

Loh Boon Chye, CEO of SGX: Strengthen market connectivity and capital flows, and support China’s internationalisation

“To achieve its Five-Year Plan – including its “dual circulation” and “new development” strategies, China has continued to promote innovation, digital trade, and sustainable development, making a significant difference in the global landscape.” On 13 October, Loh Boon Chye, Vice Chairman of the World Federation of Exchanges (WEF) and CEO of the Singapore Exchange (SGX), delivered his video speech at the “Digital Trade and Technology” thematic event during the 2021 Global Digital Trade Conference and the Wuhan (Hankoubei) Commodities Fair.
As an international multi-asset exchange, SGX is a strong supporter of China’s internationalisation efforts across equities, fixed income, currencies, and commodities, and ultimately its economic growth, as capital flows and trade flows are inseparably linked. Loh says that the defining trends of our time, whether in digitalisation or sustainability, are borderless, and collaboration is essential to harness their fullest benefits.

At the same time, SGX continues to look for ways to strengthen market connectivity between Singapore and China, and Southeast Asia. SGX’s Loh feels that Southeast Asia is fast leapfrogging in digitalisation, as reflected in an increasing number of technology unicorns. Technology is another means to enhance greater connectivity across borders and across multiple asset classes. “Digitalisation has the potential to transform the efficiency of capital markets and advance Asia’s capital markets infrastructure,” says Loh.

Loh Boon Chye shared that Singapore has recently announced a range of initiatives to serve as Asia’s leading enterprise financing hub, including establishing an investment fund, a Growth IPO Fund, and enhancing its Grant for Equity Market Singapore scheme. “We are continuing to build a more conducive ecosystem that enables growth capital for companies across their different stages of development, supporting Chinese enterprises as they expand globally.

With the unique position at the centre of the market ecosystem, Exchanges play an important role in their countries’ economic development and sustainable society. In closing, Loh reiterated SGX’s commitment to support China in its internationalisation journey and look forward to greater collaboration opportunities and mutual success.

Topic: Press release summary