|| GLOBAL HOME | UP ||
|Hitachi to Integrate Two Telecommunications-Affiliated
Advance Restructuring of Communications Equipment Business
Tokyo, Japan, July 24 - Hitachi, Ltd. (TSE:6501, NYSE:HIT, Hitachi) today announced
the integration of two Hitachi Group companies as part of ongoing
efforts to restructure its communications equipment business. Hitachi
Communication Systems, Inc. (President: Nobuyoshi Uno) and Hitachi
Shonan Denshi Co., Ltd. (President: Shigetoshi Hiratsuka) will be
merged on October 1, 2002 to form a new company, Hitachi Hybrid Networks
Earlier this year, Hitachi announced the separation of the Telecommunication Systems Division from the parent company and its integration with Hitachi Telecom Technologies, Ltd. (President: Yukio Kawamoto), also on October 1, 2002, along with other restructuring measures to strengthen the Hitachi Group's communications equipment business.
The latest move is part of the same restructuring drive and is designed to improve competitiveness through greater economies of scale and by capturing synergies. The new company is another element of the framework Hitachi is assembling to respond to new markets in the evolving networked society.
Hitachi Hybrid Networks will take over the respective design, manufacturing and sales operations of Hitachi Communication Systems and Hitachi Shonan Denshi. The former is involved with information and telecommunication-related systems and software, while the latter handles information and telecommunication-related hardware. By also marrying the communications software/network technologies and fine-mechanics and electro-optical technologies of both companies, Hitachi Hybrid Networks will open up new markets and win new customers in the network solutions field, developing a solutions business tailored to regional needs. Some of the key markets include VoIP-related solutions for communities, network systems for the elderly and image-based network systems for local governments.
Profile of the New Company
Profiles of Companies to Be Integrated
|Information contained in this news release is current as of the date of the press announcement, but may be subject to change without prior notice.|
|WRITTEN BY Corporate Communications Division