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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.

April 10, 2017

Hitachi Forms Global Research Team to Accelerate
Co-Creation of Internet of Things-based Solutions with Customers

New Insights Laboratory to Develop Innovative Solutions for Lumada, Hitachi's IoT
Platform, Using Advanced Analytics and Artificial Intelligence Technologies

Santa Clara, April 10, 2017 --- Hitachi, Ltd. (TSE: 6501, Hitachi) today announced the formation of Insights Laboratory - a new global research team focused on accelerating the delivery of innovative new solutions for Lumada, Hitachi's IoT platform, using advanced analytics, artificial intelligence (AI) capabilities and NEXPERIENCE collaborative process*1. The Insights Laboratory team will focus on agile co-creation of digital solutions with customers and partners in every phase of the development cycle. From ideation and incubation to system design, architecture and proof-of -concept and -value, the Insights Laboratory team is committed to delivering positive business and societal outcomes for Hitachi customers.

The Insights Laboratory will be comprised of a global team of researchers and designers from Hitachi's Global Center for Social Innovation (CSI) and Center for Technology Innovation, working in close collaboration with the Hitachi Insight Group*2 to drive a global, unified IoT business and go-to-market strategy. The lab's core members will be based in the Silicon Valley Research Center of CSI-North America (CSI-NA) under the direction of Dr. Umeshwar Dayal, Senior Vice President and Senior Fellow, R&D Division at Hitachi America, Ltd.

"A key feature of the Insights Laboratory is the presence of cross-disciplinary researchers, data scientists, designers and solution architects, who will work directly with customers under a shared vision to generate new concepts, and create prototypes and demos that are ultimately verified through a unified proof-of-concept process," commented George Saikalis, CTO of Hitachi America, Ltd. and GM of CSI-NA, Hitachi, Ltd. "The formation of Insights Laboratory demonstrates not only a great show of confidence in our research expertise, but reinforces Hitachi's commitment to provide solutions that meet real-world needs worldwide. Through the strategic appointment of Dr. Dayal and the location of the core Insights Laboratory team in Silicon Valley, Hitachi is positioning its cutting-edge research to take place in proximity to other leading global research institutes and industrial partners."

"We are excited to embark on this new and deeper level of collaboration, as we work to develop innovative solutions on the Lumada IoT platform," said Keiji Kojima, CEO of Hitachi Insight Group and CEO of Services & Platforms Business Unit, Hitachi, Ltd. "The Insights Laboratory's global research team unites some of the brightest minds in the world to help our customers and partners solve real challenges, and drive better business and societal outcomes."

*1
October 15, 2015 News release: "Hitachi Establishes NEXPERIENCE for Accelerating Social Innovation Business"
*2
May 10, 2016 News release: "Hitachi Insight Group Formed to Accelerate Hitachi's Global Internet of Things Business"

About Hitachi, Ltd.

Hitachi, Ltd. (TSE: 6501), headquartered in Tokyo, Japan, delivers innovations that answer society's challenges. The company's consolidated revenues for fiscal 2015 (ended March 31, 2016) totalled 10,034.3 billion yen ($88.8 billion). The Hitachi Group is a global leader in the Social Innovation Business, and it has approximately 335,000 employees worldwide. Through collaborative creation, Hitachi is providing solutions to customers in a broad range of sectors, including Power / Energy, Industry / Distribution / Water, Urban Development, and Finance / Government & Public / Healthcare. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.

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