Slide 1: Global Reorganization to Strengthen Synergies Leveraging OT and IT
Global Reorganization to Strengthen Synergies Leveraging OT and IT October 31st, 2023 Jun Abe Senior Vice President and Executive Officer, CEO of Cloud Services Platform Business Unit © Hitachi, Ltd. 2023. All rights reserved.
Slide 2: Today's Key Messages
Today’s Key Messages Accelerate global growth by capturing demand derived from Generative AI Spin-off Hitachi Vantara's Digital Solutions business into a new company, 1 Hitachi Digital Services, which provides OT and IT integration to social infrastructure and industrial customers globally. Focus in
Slide 3: 1. Overview of the Reorganization
1. Overview of the Reorganization ⚫ Spin-off of Hitachi Vantara LLC's Digital Solutions Business to form Hitachi Digital Services. ⚫ Hitachi's domestic IT products Business to spin-off into newly established Hitachi Vantara, Ltd. through a qualified reorganization. Business Domain Current From FY202
Slide 4: 2. Objective of the Reorganization
2. Objective of the Reorganization Global deployment of Hitachi Digital Services' domain solutions in collaboration with GEM/CI sector utilizing strength of GlobalLogic's digital engineering and Vantara's mission-critical data management. Hitachi's Social Innovation Business to realize a sustainable
Slide 5: 3. Initiatives to date
3. Initiatives to date Have continued investments in AI supporting enterprise data utilization and the arrival of the hybrid cloud era Market Circumstances 2018 Mid-term Management Plan 2021 Mid-term Management Plan 2024 Mid-term Management Plan～ Gen. AI： CAGR 42%*1 Big Data/IoT Public Cloud Hybrid
Slide 6: 4. Enhancement of Lumada Business
4. Enhancement of Lumada Business Incorporating innovation powered by Generative AI into Lumada co-creation approach to accelerate One Hitachi business. Area of Enhancement by this reorganization Managed Services Digital Engineering Consulting, Design and Digital Engineering Hitachi Digital Services
Slide 7: 5-1. Hitachi Digital Services – Domain Solutions
5-1. Hitachi Digital Services – Domain Solutions ⚫ Connect and systematize group-wide OT/IT capabilities – Business practice with Hitachi Rail ⚫ Gather the knowledge and talent of Hitachi‘s OT/IT to expand the integration practices Intercity Express Programme（UK） Service Details Condition base maint
Slide 8: 5-2. Hitachi Digital Services – Cloud Managed Services
5-2. Hitachi Digital Services – Cloud Managed Services ⚫ Provide managed services for the entire business system including applications and data. ⚫ Achieve high agility through development and operation integration, and realize operational automation and streamline by tools Maintenance A/C Facilitie
Slide 9: 6-1. Re-aligned Hitachi Vantara – Data Infrastructure Products
6-1. Re-aligned Hitachi Vantara – Data Infrastructure Products The trend toward hybrid clouds, where mission-critical data is stored in the cloud and data for a variety of applications is stored in the public cloud, is accelerating with the advent of generative AI. Data Management for Hybrid Cloud S
Slide 10: 6-2. Re-aligned Hitachi Vantara – Data Infrastructure Services(1)
6-2. Re-aligned Hitachi Vantara – Data Infrastructure Services(1) Providing hybrid cloud service for verticals with Hitachi’s domain knowledge and partner solutions Hybrid Cloud Solution/Service for Vertical EverFlex from Hitachi （Delivered as-a-service model） Partner Solution Hitachi’s Domain Knowl
Slide 11: 6-3. Re-aligned Hitachi Vantara – Data Infrastructure Services(2)
6-3. Re-aligned Hitachi Vantara – Data Infrastructure Services(2) ⚫ Data is stored on-premises to ensure compliance with the quality of service stipulated in the contract with the customer. ⚫ Temporary use of cloud resources to perform work in response to fluctuating workloads Data Infrastructure Se
Slide 12: Summary
Summary Digital Strategy Global IT Service Business ⚫ Pursuing the growth of the Lumada business with OT, IT and Products Target sales 1 trillion yen ⚫ Accelerate growth of global IT services business with GlobalLogic Digital Centric GlobalLogic One Hitachi Hitachi Vantara Hitachi Digital Services G
Slide 13: Introduction of New Leaders
Introduction of New Leaders © Hitachi, Ltd. 2023. All rights reserved. 12
Slide 14: Roger Lvin, CEO, Hitachi Digital Services LLC
CEO Hitachi Digital Services LLC Roger Lvin A serial business builder, driving growth and scale in the High-Tech industry with a distinguished 20+ year career in leadership roles. Drove Hitachi Vantara Digital Solutions (DSBU) to achieve double-digit growth and improved margins, transitioning it int
Slide 15: Sheila Rohra, CEO, Hitachi Vantara LLC
CEO Hitachi Vantara LLC Sheila Rohra Experienced strategist, transformation, and customer success leader with over 20 years in High Tech Leadership roles Fortune 500 executive roles spanning strategy to execution with proven experience transforming multi-billion dollar companies: • Senior Vice Presi
Slide 16: Akinobu Shimada, President, Hitachi Vantara, Ltd.
President Hitachi Vantara, Ltd. (Tentative) Akinobu Shimada Careers • Apr. 1989 Joined Hitachi, Ltd. • Apr. 2014 Senior Vice President of Corporate Strategy & Planning, Hitachi Data Systems Corporation(USA) • Apr. 2016 Division Vice President IT Platform Products Management Division • Jan. 2020 Chie
Slide 17: © Hitachi, Ltd. 2023. All rights reserved.
© Hitachi, Ltd. 2023. All rights reserved. 16
Slide 18: Appendix
Appendix © Hitachi, Ltd. 2023. All rights reserved.
Slide 19: Modernization Support - Hitachi Microservices Platform
Modernization Support - Hitachi Microservices Platform（News Release: Oct. 19, 2023） Accelerate modernization of existing applications while maintaining core system stability While inheriting legacy OLTP applications, safely Accelerate the launch of new business services and steadily convert them to
Slide 20: Hybrid Cloud Solution - EverFlex from Hitachi
Hybrid Cloud Solution - EverFlex from Hitachi (News Release: Sep. 19, 2023) Subscription-type Solution for IT infrastructure layer with "speed and flexibility“, "investment optimization“ and "operational sophistication and labor savings” Migration Modernization Security Data Protection Location □ Le
Slide 21: Single Data Platform - Virtual Storage Platform One
Single Data Platform - Virtual Storage Platform One (News Release: Oct. 10, 2023) Consolidation of various current storage products and services into “Hitachi Virtual Storage Platform One”, hybrid cloud data platform Object Cloud The product offering is scheduled in 2024 for the Japanese market. Sto
Slide 22: About Trademarks
About Trademarks Trademark Notice: ・AIX is a trademark of International Business Machines Corporation, registered in many jurisdictions worldwide. ・Amazon Web Services, AWS, the Powered by AWS logo are trademarks of Amazon.com, Inc. or its affiliates. ・Equinix is a registered trademark of Equinix, I