Thursday, June 20, 2024

Hitachi and Microsoft enter milestone settlement to speed up enterprise and social innovation with generative AI

  • Three-year, projected multibillion-dollar strategic partnership will give attention to creating revolutionary business options that ship transformative outcomes for companies and society
  • Hitachi Group will embed the Microsoft cloud, Azure Open AI Service, Dynamics 365, Copilot for Microsoft 365 and GitHub Copilot into its Lumada Options to speed up progress of the Lumada enterprise, and enhance productiveness for its 270,000 workers
  • Hitachi will practice greater than 50,000 “GenAI Professionals” on superior AI abilities. As a part of the partnership, Hitachi will incorporate coaching offered by Microsoft into Hitachi’s coaching

Redmond, Wash., June 3/Tokyo, June 4, 2024 Hitachi Ltd. (TSE:6501) and Microsoft Corp. introduced a projected multibillion-dollar collaboration over the subsequent three years that can speed up social innovation with generative AI. By way of this strategic alliance, Hitachi will propel progress of the Lumada enterprise, with a deliberate income of two.65 trillion yen (18.9 billion USD)*1 in FY2024, and can promote operational effectivity and productiveness enhancements for Hitachi Group’s 270,000 workers.

Hitachi logoParticularly, Hitachi will embed the Microsoft cloud, Azure Open AI Service, Dynamics 365, Copilot for Microsoft 365 and GitHub Copilot into Lumada options to offer revolutionary options for the vitality, mobility and different industries to ship higher outcomes for companies and society. As well as, the 2 corporations will promote joint tasks to handle urgent enterprise wants corresponding to bolstering cloud providers, enhancing safety, and mitigating the environmental footprint of information facilities, which have turn into an rising space of focus with the rising use of generative AI.

“Hitachi has been driving transformation by making use of AI throughout the Hitachi Group to enhance productiveness and can make investments 300 billion yen(2.1 billion USD)*1 in GenAI to seize new progress alternatives in FY2024. Hitachi and Microsoft have already been engaged on a wide range of co-creation tasks together with the event of next-generation digital options for the manufacturing and logistics fields*2 and the event of a field-extended metaverse that runs on Microsoft Groups,” mentioned Keiji Kojima, president and CEO of Hitachi. “Underneath this new settlement, we’re excited to additional speed up social innovation by increasing our efforts to social infrastructure areas corresponding to vitality and mobility, and by making use of generative AI, to enhance the productiveness of frontline employees, which can turn into much more vital sooner or later. By combining our capabilities, we may help remedy the problems confronted by our prospects and society, and contribute to a extra sustainable future.”

“We’re getting into a brand new period of AI with the promise to ship transformative enterprise outcomes throughout each function and business,” mentioned Satya Nadella, chairman and CEO, Microsoft. “Our expanded partnership with Hitachi will carry collectively the ability of the Microsoft Cloud — together with Microsoft Copilot — with Hitachi’s business experience to enhance the productiveness of 270,000 Hitachi workers and assist handle prospects’ greatest challenges, together with sustainability.”

Hitachi’s enterprise transformation:

Microsoft logoHitachi’s Generative AI Heart*3 and Microsoft will collaborate to enhance operational effectivity and utility improvement inside the Hitachi Group through the use of Copilot for Microsoft 365 and GitHub Copilot. Hitachi can even use Azure OpenAI Service to boost its customer support. As a part of Hitachi’s groupwide transformation, Hitachi will mix Azure OpenAI Service and GitHub Copilot with its techniques improvement experience to take care of prime quality and enhance productiveness for mission-critical system improvement. Hitachi’s inside validation confirmed that when its detailed system design data was integrated with Microsoft Azure OpenAI Service and GitHub Copilot, the appliance supply code could possibly be correctly generated 70% to 90% of the time, leading to high-quality output.*4

Hitachi Rail is leveraging GenAI for predictive upkeep, enhancing gear monitoring and refining forecast accuracy. This proactive method prevents breakdowns, will increase service high quality, reduces working bills and augments security. For instance, a cloud-based platform on Microsoft Azure was used to streamline information visualization and evaluation, empowered by AI to furnish data-driven insights to digitally monitor rail infrastructure. These insights have been translated into actionable steps for Community Rail, enhancing decision-making for predictive upkeep of overhead traces.

Develop revolutionary digital options

Hitachi is enhancing its Lumada options by incorporating the aptitude of generative AI. As a part of the initiative, Hitachi has already began to make use of Microsoft’s Generative AI for JP1 Cloud Providers, a SaaS model of JP1, its built-in operations administration software program with roughly 20,000 prospects. This may speed up response instances to handle failures, and allow improved operational efficiencies for IT departments, monetary and public establishments. In an inside verification take a look at performed earlier, Hitachi confirmed that the time required for the operator to make an preliminary response to an alert was lowered to roughly two-thirds through the use of generated AI to reply to the alert and displaying the supply of the quotation, corresponding to a handbook, that offered the premise for the response.

Along with this, Hitachi and Microsoft can even assist the vitality transition with improved entry to and strengthening of digital options for asset efficiency administration, vitality buying and selling, and danger administration to scale back downtime and enhance profitability. Elevated computing energy and cloud infrastructure are each vital to scaling these purposes. Hitachi Power’s Enterprise Software program Options know-how and its partnership with Microsoft are key to optimizing the vitality community, from technology, by way of transmission and distribution, and finally in delivering dependable and sustainable vitality to prospects.

Joint tasks to advertise sustainable progress

A number of Hitachi Group Corporations together with GlobalLogic, Hitachi Digital Providers and Hitachi Options, ship a variety of digital engineering, IT and managed providers, and utility providers for the cloud. Further improvement efforts by way of this partnership will give attention to enhancing this broad vary of providers with the goal of sustainable innovation with Microsoft.

Because the affect of CO2 emissions from AI on the worldwide setting will increase, Hitachi and Microsoft will work towards zero carbon, beginning with an information heart undertaking in Europe, to scale back environmental affect.

Strengthen digital skilling and expertise improvement

Hitachi will practice greater than 50,000 GenAI Professionals. As a part of the partnership, Hitachi will incorporate coaching to accumulate superior software program improvement abilities utilizing GitHub Copilot and Azure OpenAI Service into this system to develop GenAI Professionals, skills who assist prospects’ transformation utilizing AI.

*1 Forecast as of April 26, 2024, calculated at 140 yen to the U.S. greenback.

*2 Hitachi Information Launch (June 26, 2020) “Hitachi and Microsoft kind a strategic alliance to advance next-generation digital options for manufacturing and logistics throughout Southeast Asia, North America and Japan”

*3 Hitachi Information Launch (Could 15, 2023) “Hitachi Establishes New ‘Generative AI Heart’ to Speed up Worth Creation and Enhance Productiveness within the Lumada enterprise by selling using Generative AI”

*4 Hitachi Information Launch (Could 21, 2024) “Hitachi to Speed up System Improvement Transformation With Generative AI”

About Hitachi, Ltd.

Hitachi drives Social Innovation Enterprise, making a sustainable society by way of using information and know-how. We remedy prospects’ and society’s challenges with Lumada options leveraging IT, OT (Operational Know-how) and merchandise. Hitachi operates below the three enterprise sectors of “Digital Methods & Providers” – supporting our prospects’ digital transformation; “Inexperienced Power & Mobility” – contributing to a decarbonized society by way of vitality and railway techniques, and “Connective Industries” – connecting merchandise by way of digital know-how to offer options in numerous industries. Pushed by Digital, Inexperienced, and Innovation, we goal for progress by way of co-creation with our prospects. The corporate’s revenues as 3 sectors for fiscal 12 months 2023 (ended March 31, 2024) totaled 8,564.3 billion yen, with 573 consolidated subsidiaries and roughly 270,000 workers worldwide. For extra data on Hitachi, please go to the corporate’s web site at

About Microsoft

Microsoft (Nasdaq “MSFT” @microsoft) creates platforms and instruments powered by AI to ship revolutionary options that meet the evolving wants of our prospects. The know-how firm is dedicated to creating AI out there broadly and doing so responsibly, with a mission to empower each individual and each group on the planet to attain extra.

Media Contacts

Microsoft Media Relations, WE Communications for Microsoft, (425) 638-7777, [email protected]



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