WA-HITACHI | Business Wire
Hitachi, Ltd. (TSE:6501) and Microsoft Corporation announced a projected multi-billion dollar collaboration over the next three years, aimed at accelerating social innovation with generative AI. This strategic alliance will see Hitachi driving growth of the Lumada business, targeting a planned revenue of 2.65 trillion yen (18.9 billion USD) in FY2024. The partnership will focus on promoting operational efficiency and productivity improvements for Hitachi Group’s 270 thousand employees.
Strategic Alliance Details
Hitachi plans to integrate various Microsoft technologies such as Azure Open AI Service, Dynamics 365, Copilot for Microsoft 365, and GitHub Copilot into Lumada solutions. This integration aims to provide innovative solutions for industries like energy and mobility, leading to better outcomes for businesses and society as a whole. Additionally, joint projects between the two companies will address crucial business needs such as enhancing cloud services, improving security, and reducing the environmental impact of data centers, especially with the increasing usage of generative AI.
Quotes from the Companies
Keiji Kojima, President and CEO of Hitachi, expressed excitement about accelerating social innovation through expanding efforts in areas like energy and mobility, leveraging generative AI to enhance frontline worker productivity. Satya Nadella, Chairman and CEO of Microsoft, emphasized the power of the Microsoft Cloud and Hitachi's industry expertise in enhancing productivity and addressing customer challenges, particularly around sustainability.
Business Transformation Efforts
Hitachi's Generative AI Center will collaborate with Microsoft to improve operational efficiency and application development within the Hitachi Group. By leveraging technologies like Copilot for Microsoft 365 and GitHub Copilot, Hitachi aims to enhance customer service using Azure OpenAI Service. Hitachi's internal validation has shown significant improvements in system design knowledge incorporation, resulting in high-quality output.
Innovative Solutions and Projects
Hitachi is enhancing its Lumada solutions with generative AI capabilities to improve operational efficiencies. The company has begun using Microsoft’s Generative AI for JP1 Cloud Services, aiming to accelerate response times and improve IT operational efficiencies. Hitachi and Microsoft are also collaborating to support the energy transition and drive sustainable growth through digital solutions.
Digital Skilling and Talent Development
Hitachi plans to train over 50 thousand GenAI Professionals, incorporating advanced software development skills training using GitHub Copilot and Azure OpenAI Service. This initiative aims to develop talents who can support customer transformations using AI technologies.
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