Hitachi to establish “Chōwa-no-Oka,” a next-generation social infrastructure R&D hub in Hitachi City, strengthening research toward a harmonized society

Accelerating growth beyond Lumada 3.0 and advancing Society 5.0 demonstration through co-creation with the local community

Tokyo, May 27, 2026 - Hitachi, Ltd. (TSE: 6501, “Hitachi”) today announced that it will establish “Chōwa-no-Oka” (“Harmony Hill”), a next-generation R&D hub for social infrastructure in Hitachi City, Ibaraki Prefecture, in 2030. The hub will contribute to the realization of a harmonized society in which the environment, wellbeing, and economic growth are in balance. Through active investment in research, Hitachi will build a global, state-of-the-art R&D hub. The company will share the results of demonstration projects and translate them into practical applications in society, thereby creating new businesses, achieving sustainable growth, and generating value for the local community.

At the new Chōwa-no-Oka facility, Hitachi will conduct research and demonstration projects aimed at advancing the design, control, and operation of social systems through an integrated, cross-disciplinary approach. These activities will take a holistic view of how multiple fields interact with and influence one another within social systems. The facility will serve as a world-leading R&D hub for “convergence research,” bringing together technologies from fields such as energy, mobility, and manufacturing to solve social challenges. The results obtained through demonstration projects will be shared with society and leveraged to create new value.

In coordination with the “Next-Generation Future City” (Smart City)^*1 co-creation project pursued by Hitachi and Hitachi City, Chōwa-no-Oka will help accelerate the process from research to demonstration and generate value for the local community. For example, in order to realize a “Green Industrial City,” the center will advance research aimed at managing electric power, heat, and CO2 in an integrated manner to optimize regional renewable energy use and help businesses achieve carbon neutrality. Furthermore, based on this vision for future social systems, the center will advance the use of AI and data, while integrating insights from the Kyoto Institute of Philosophy to help shape and share values essential for everyday life for citizens. Serving as a hub in an open ecosystem that connects local companies, universities, and research institutions, Chōwa-no-Oka will adopt an integrated approach—from identifying issues to demonstrating solutions, sharing results, and developing key talent—to create new value that helps solve social challenges.

Through these initiatives, Hitachi will develop digitalized assets and services that drive growth for Lumada 3.0 and beyond, supporting the company’s sustainable growth.

• 1 See the Hitachi press release of December 21, 2023: “Hitachi and Hitachi City sign comprehensive partnership agreement on project for creating a “Next-Generation Future City” (Smart City) utilizing digital technology” (in Japanese)

Background

Social infrastructure and industry face increasingly complex challenges, including carbon neutrality, growing resource constraints, and rising demand for electric power driven by AI adoption, making it difficult to find effective solutions within any single technological discipline. Hitachi has continuously evolved its R&D strategy—from developing social infrastructure assets and system integration technologies to creating digital solutions and co-creating value with customers through Lumada. In recent years, to realize a harmonized society, it has become increasingly important to advance research and demonstration projects that encompass the entire social framework, involving key stakeholders from the earliest stages. Chōwa-no-Oka reflects this evolution, serving as a hub for piloting and demonstrating next-generation social systems.

Demonstrating the transformation of social systems requires more than digital technologies and advanced AI; it demands research and verification that incorporate real-world infrastructure, including energy equipment, industrial facilities, and urban and public infrastructure. The Ohmika area in Hitachi City has served as a core site for Hitachi’s social infrastructure R&D for more than a century since the company’s founding, offering specialized facilities and expertise that enable research and demonstration in conditions closely reflecting real-world operating environments. Building on these strengths, Chōwa-no-Oka will serve as the centerpiece for research aimed at driving social innovation.

Key initiatives to advance social infrastructure research at Chōwa-no-Oka

1. Creation of business value through social infrastructure innovation driven by convergence research

To contribute to the realization of a harmonized society and Society 5.0, Chōwa-no-Oka will serve as a hub for convergence research by integrating innovative infrastructure research, cross-disciplinary research, and research into coordinated control^*2 technologies. One flagship endeavor will be research and demonstration of Hitachi’s “Energy NEXUS”^*3 initiative, a project that aims to manage electric power, heat, CO2, and data under a single, integrated system. In addition, Hitachi will further develop the Integrated World Infrastructure Model (IWIM),^*4 a physical AI integration model that combines social infrastructure with AI technologies. IWIM will provide a unified framework for overseeing and managing interconnected elements such as power generation, transmission and distribution, power storage, heat recovery and utilization, and CO2 measurement and management. Based on this framework, Hitachi will develop operational technologies that encompass the entire energy cycle, from supply to utilization, circulation, and control. By pursuing optimization of the entire system rather than the efficiency of individual assets alone, Hitachi will support harmonized decision-making in infrastructure operations involving multiple stakeholders. Through these efforts, Hitachi will deliver unique, differentiated value to society.

• 2 Coordinated control: Control technology that coordinates multiple interconnected facilities and systems to optimize overall performance, considering mutually influencing conditions.
• 3. Energy NEXUS: An interdisciplinary field of research and testing integrating electric power, heat, CO2 emissions, and data. It aims to achieve overall optimization of energy social systems involving multiple stakeholders and support relevant decision-making processes.
• 4. IWIM: A physical AI model that combines Hitachi’s wealth of knowledge of social infrastructure with AI technology to understand and predict real-world phenomena and integrate planning and control within a single framework.

2. Construction of a symbolic new research building and contribution to the vitality of local industry

Chōwa-no-Oka will serve as a hub for designing research themes based on visions for the future of society and social infrastructure. It will promote real-world validation, the sharing of research findings, and talent development. Beyond the experimental and verification functions of a conventional research laboratory, Chōwa-no-Oka will connect research design that takes social implementation into account from the concept stage, stakeholder discussions, and the visualization of outcomes. By bringing together research that has traditionally been pursued in separate silos, the center will help shape concrete visions for next-generation social infrastructure and social systems. As a symbol of these efforts, Hitachi will construct a new research building inspired by Dai-entotsu, the iconic chimney of the former Hitachi Mine, which played a key role in addressing environmental challenges in Hitachi City. The new building will feature spaces for sharing research findings and future visions. It will also include collaborative areas where diverse stakeholders from both inside and outside Hitachi—including the Company’s researchers and business side staff, as well as representatives from local governments, partner companies, and academic institutions—can come together. In these spaces, participants will be able to experience new technologies and co-created value firsthand, helping advance joint development efforts. Under this framework, Hitachi will accelerate the co-creation and social implementation of new technologies across disciplines and organizations, while also contributing to the vitality of local industry and the regional economy.

3. Strengthening of an open ecosystem for collaboration with domestic and global partners

To address a wide range of social challenges, Hitachi has pursued open innovation in fields such as energy, the environment, and social systems together with partners in industry, government, and academia via a wide range of initiatives: H-UTokyo Lab, a partnership with the University of Tokyo; the Hitachi Kyoto University Laboratory, established together with Kyoto University; the Hitachi-AIST Circular Economy Cooperative Research Laboratory, a collaboration with the National Institute of Advanced Industrial Science and Technology (AIST); and joint research with Imperial College London. Going forward, Chōwa-no-Oka will serve as a hub for expanding collaboration with these and other partners—strengthening the framework for policy proposals, joint research, talent exchange, and the sharing of research findings and expertise. By leveraging its global research network and strengthening its pool of cutting-edge research talent, Hitachi aims to establish Chōwa-no-Oka as one of the world’s leading cross-disciplinary R&D hubs.

Looking ahead

Hitachi is committed to developing Chōwa-no-Oka into a true center of excellence. In establishing the new facility, the company aims to create a virtuous cycle of research and demonstration driven by social challenges. Chōwa-no-Oka will also advance next-generation social infrastructure research that generates value locally and extends it across Japan and the world. These efforts ultimately aim to expand the Lumada business, which will drive Hitachi’s next phase of growth. In conjunction with the “Next-Generation Future City” co-creation project with Hitachi City, Hitachi will accelerate social innovation locally and expand it globally, thereby contributing to the realization of a harmonized society and Society 5.0.

Overview of tentative construction plans

About Hitachi, Ltd.

Through its Social Innovation Business (SIB) that brings together IT, OT(Operational Technology) and products, Hitachi aims to be a global leader in continuously transforming social infrastructure through digital, contributing to a harmonized society where the environment, wellbeing, and economic growth are in balance.

Hitachi operates worldwide across four sectors – Digital Systems & Services, Energy, Mobility, and Connective Industries – as well as a Strategic SIB Business Unit focused on new growth areas. With Lumada at its core, Hitachi creates value by combining data, technology and domain knowledge to solve customer and social challenges. Revenues for FY2025 (ended March 31, 2026) totaled 10,586.7 billion yen, with 606 consolidated subsidiaries and approximately 290,000 employees worldwide. Visit us at www.hitachi.com.

Contacts

Hitachi, Ltd.

Research & Development Group